On March 16th, Dongxing Aluminum held a groundbreaking ceremony for the first phase of its high-end electrical round aluminum rod continuous casting and rolling project. The project has a planned total capacity of 200,000 tons per year and will be constructed in two phases. The first phase, with a capacity of 100,000 tons per year, is scheduled for completion by the end of December this year. Guided by the principles of "intelligentization, greening, and integration," the project leverages the company's existing high-quality electrolytic aluminum resources to produce L3 and above series of high-strength, high-conductivity aluminum alloy guide rods, with high-end products accounting for over 50%.

Before and after the Chinese New Year, the domestic spot aluminum market exhibited significant regional differentiation, with the spot price spread between South China (Foshan) and East China (Wuxi) drawing particular attention. Before the holiday, the Guangdong-Shanghai price spread reached a high of 150 yuan/mt on February 10, while by February 27 after the holiday, this spread had narrowed significantly to 10 yuan/mt.....

28th of Feburary: According to SMM statistics, in February 2026, overseas production of metallurgical-grade alumina decreased by 12.41% month-on-month and 3.66% year-on-year; the average operating rate of overseas alumina enterprises edged down by 0.01 percentage point month-on-month to 76.17%, a decrease of 2.67 percentage points year-on-year. Overall, overseas alumina production was relatively stable during the month. By region: Asia: On February 6, Lam Dong Province in Vietnam approved the expansion plans for two alumina projects under Vinacomin, with a total investment of VND 59.855 trillion (approximately USD 2.3 billion). One is to add a production line with an annual capacity of 1.2 million tons at the Nhan Co alumina plant in Dak Nong Province, which is expected to be commissioned in 2030 with an operating period of 30 years. The other is to expand the Tan Rai alumina plant in Lam Dong Province, planning to build a second production line with an annual capacity of 1.2 million tons. Construction is expected to be completed in the third quarter of 2030 and operation to begin in the fourth quarter. According to SMM research, Vietnam's local bauxite resources are relatively abundant, providing stable raw material support for the commissioning of these projects. It is expected that they will have significant cost advantages, potentially enhancing the export competitiveness of alumina in the long term. Europe: In order to reduce the negative environmental impact of road transportation, Alteo alumina plant has partnered with HES Fos, planning to relocate most of its logistics operations from the port of Marseille to the port of Fos-sur-Mer. Under the agreement, HES Fos will be responsible for unloading ships, storing hydrated alumina, and subsequently transporting it to Alteo's plant in Gardanne. In the future, HES Fos will renovate an existing clinker warehouse specifically for storing hydrated alumina to ensure the smooth operation of the supply chain. The construction of this dedicated facility has entered the execution phase and is expected to be put into operation in 2029, providing reliable support for the logistics and storage of alumina in the long term. Australia: On February 13, Australian company Alpha HPA announced the groundbreaking of the second phase of its planned world's largest single-site high-purity alumina refinery. The project will utilize the company's proprietary solvent extraction and refining technology to commercially produce high-purity alumina products with a purity of 99.99%, providing key raw materials for industries such as global lithium batteries, LED lights, and semiconductor manufacturing. Middle East: On February 28, the conflict between Iran and Israel escalated, with an attack on Tehran, the capital of Iran. Currently, no shutdowns of alumina plants in the region have been reported. According to SMM statistics, Iran has only one alumina plant, which is equipped with bauxite production capacity. If geopolitical conflicts further intensify, the plant's production could be affected, and the possibility of output cuts or shutdowns cannot be ruled out. Data show that Iran's annual alumina output is about 250,000 tons, and bauxite output is about 650,000 tons. Its alumina production cannot meet the domestic demand for electrolytic aluminum production, and it has long relied on imports, with India being the main source. Alumina imports from India account for 40% to 80% of Iran's total imports. Outlook for March 2026: Overseas production of metallurgical-grade alumina is expected to increase by 12.65% month-on-month and decrease slightly by 2.38% year-on-year; the operating rate is expected to be 77.45%, up 0.01 percentage point month-on-month and down 1.61 percentage points year-on-year. Continuous attention should be paid to the impact of changes in the international political situation on alumina production.

SMM February 28 News: On February 28, the conflict between Iran and Israel escalated, with an attack on the Iranian capital, Tehran, drawing market attention. The following is an overview of the aluminum industry information in the Iran region: Bauxite & Alumina: There is only one alumina refinery in the Iran region, which also has associated bauxite mining operations. Annual alumina production and bauxite output are approximately 250,000 mt and 650,000 mt, respectively. Its alumina production cannot meet the domestic demand for electrolytic aluminum production, and it relies on alumina imports year-round. India is the main source, with Iran's alumina imports from India accounting for 40-80% of its total imports. Aluminum: Iran has four aluminum smelters, all currently in operation, with a national average operating rate above 90% and an annual output exceeding 600,000 mt. Its production exceeds domestic consumption, leading to some exports, mainly to Türkiye, China, and other countries. Net exports account for 30-50% of production. Overall, if the local aluminum industry production in Iran collapses due to the geopolitical conflict, overseas aluminum supply is expected to tighten, while the alumina surplus is expected to worsen further. However, there is a considerable spatial distance between Iran's aluminum industry plants and the attacked city of Tehran. The closest is the Arak aluminum plant, nearly 300 km away. Nevertheless, subsequent attention must be paid to whether the geopolitical conflict escalates, affecting other regions, such as near the Strait of Hormuz, or whether it will impact Iran's electricity supply or alumina import supply, consequently affecting electrolytic aluminum production.

Recently, the 600,000-ton-per-year prebaked anode project of Baikuang Santian Carbon Co., Ltd., located in Tiandong County, began trial production. This project is a core supporting project for Tiandong County's development of an eco-friendly aluminum industry cluster. Upon completion, it will inject strong momentum into upgrading the regional aluminum industry and building a more resilient and competitive modern industrial system. We have always adhered to the core development concept of "green development and technological empowerment," and the project's entire lifecycle incorporates energy conservation, environmental protection, and intelligent transformation and upgrading. It achieves a double breakthrough: production efficiency is increased by more than 20% compared to traditional processes, and environmental emissions meet ultra-low standards. It is understood that prebaked anodes are considered the "heart" of electrolytic aluminum production. This project is jointly invested and constructed by Suotong Development and Jili Baikuang Group. After full operation, it is expected to increase the city's total prebaked anode production capacity to 2 million tons, meeting the production demand of approximately 4 million tons of electrolytic aluminum.

By the end of 2025, the Zaha Nouer Industrial Park is planned to achieve an electrolytic aluminum production capacity of 730,000 tons and an aluminum processing capacity of 1.4 million tons, along with the construction of green power projects such as wind power and photovoltaics, striving to realize integrated development of 'green power aluminum.' Zhalute Banner has rich coal reserves, with documented high-quality lignite reaching 9.7 billion tons, and existing coal mine production capacity of 18 million tons and 1.75 million kilowatts of installed capacity (including 1.05 million kilowatts from new energy and 700,000 kilowatts from thermal power), providing a guarantee for low-cost, low-carbon production. Currently, the enterprises settled in the industrial park have achieved an electrolytic aluminum production capacity of 380,000 tons and aluminum processing capacity of 1.05 million tons.It is reported that the second phase of the Huokong Hongjun Aluminum Electric Company's project (with an annual production of 350,000 tons of electrolytic aluminum) will be operational in 2025, along with 650,000 kilowatts of wind power and a 100,000-kilowatt, 2-hour electrochemical energy storage project, further consolidating the position of the green power aluminum base.

[Xining's 10,000-mt-scale Waste Lithium-ion Battery Processing Project Lands] Recently, the People's Government of Datong Hui and Tu Autonomous County, Xining City, Qinghai Province, released the second public consultation information on the environmental impact report for the "Comprehensive Utilization Project (Phase II) for Hazardous and Solid Waste from Electrolytic Aluminum Production by Qinghai Haiding Group Qinghai Dingneng Environmental Protection Technology Co., Ltd." The advancement of this project holds significant importance for local resource recycling and ecological environmental protection. The project is located on the north side of Qingping Road in Beichuan Industrial Park, Datong County, Xining City, with an investment of 220 million yuan. Upon completion, it will achieve an annual processing capacity of 80,000 mt of overhaul slag and 20,000 mt of carbon slag, producing 3,108 mt of industrial-grade lithium carbonate, 2,124 mt of potassium chloride, 8,934 mt of sodium chloride, 9,796 mt of sulfate mixtures (a mixture of sodium sulphate and potassium sulphate), 17,928 mt of dry impermeable materials, 2,084 mt of magnesium fluoride, 26,214 mt of graphite powder, 30,840 mt of regenerated electrolyte, and 8,000 mt of steel bars annually.

》Check SMM's aluminum product quotes, data, and market analysis SMM News on June 18: Today, the most-traded SHFE aluminum 2507 contract opened at 20,585 yuan/mt, with a high of 20,745 yuan/mt, a low of 20,565 yuan/mt, and closed at 20,680 yuan/mt, up 0.46%. Trading volume was 80,000 lots, and open interest was 199,000 lots. SMM Commentary: On the macro front, softening US economic data and geopolitical tensions in the Middle East have made the market nervous. US retail sales in May were weaker than expected, but consumer spending remained supported by robust wage growth. Fundamentals side, domestic operating capacity of electrolytic aluminum remained stable, and a decrease in casting ingot volume contributed to the destocking of domestic aluminum ingot inventory. Cost side, alumina and auxiliary material prices are expected to weaken, reducing cost support for electrolytic aluminum. Demand side, the sector faces dual pressures from domestic seasonal weakness and trade uncertainties, and the operating rate of aluminum processing enterprises will be under pressure to decline in the short term. Overall, the current low inventory and expectations of a higher proportion of liquid aluminum provide strong support for aluminum prices, but the off-season pressure on the demand side limits upside room. Spot aluminum ingots in major consumption areas may soon face a situation of weak supply and demand, and aluminum prices are expected to hold up well in the short term. Today, the most-traded alumina 2509 contract opened at 2,896 yuan/mt, with a high of 2,929 yuan/mt, a low of 2,881 yuan/mt, and closed at 2,929 yuan/mt, up 0.83%. Trading volume was 274,000 lots, and open interest was 300,000 lots. SMM Commentary: Last week, the operating capacity of alumina rose by 1.74 million mt/year MoM to 89.01 million mt/year. Spot supply was relatively loose compared to the previous period, and the total weekly inventory of alumina at aluminum smelters increased by 16,000 mt to 2.646 million mt. Recently, the alumina market has been relatively quiet, and fundamentals are expected to maintain a relatively loose pattern. Earlier, some ex-factory prices of around 3,100 yuan/mt were reported in the northern alumina spot market, and sporadic spot transactions were reported in south-west China, with the lowest reaching 3,200 yuan/mt. Transaction prices were at a discount to the online price. In the short term, alumina spot prices are expected to maintain a downward trend. Follow-up attention should be paid to changes in the capacity of domestic alumina enterprises and the supply of imported alumina. [The information provided is for reference only. This article does not constitute direct advice for investment research decisions. Clients should make decisions cautiously and not rely on this as a substitute for independent judgment. Any decisions made by clients are unrelated to SMM.]

At the 2025 SMM (2nd) Global Renewable Metal Industry Chain Summit - Main Forum hosted by SMM Information & Technology Co., Ltd., Allen Cui, Director of SMM Nonferrous Consulting, shared insights on the topic of "Prospects for the Development of the Global Secondary Metal Industry."

[SMM Midday Review of Spot Aluminum: Spot Aluminum Transactions Weaken Significantly, Premiums Pull Back, Market Discounts Improve] Inventory side, according to SMM's domestic aluminum ingot inventory data from three locations, domestic electrolytic aluminum ingot inventory stood at 331,500 mt on June 17, experiencing a destocking of 0.2 mt compared to the previous trading day. In the short term, the relatively low arrival of aluminum ingots and the reduction in inventory are conducive to high spot premiums in the spot market. However, there is a strong fear of high prices in the spot market, with downstream purchase willingness being poor. Transactions are occurring at market discounts. It is expected that spot premiums will show a narrowing trend in the short term.