Among them, the Gulf region was an important consumer market for China in the Middle East: China’s exports of aluminum plate/sheet and strip to Saudi Arabia reached 42,500 mt, and aluminum foil 58,000 mt; exports of aluminum plate/sheet and strip to the UAE reached 103,500 mt, and aluminum foil 93,800 mt; the other four countries (Bahrain, Qatar, Kuwait, and Oman) accounted for combined exports of about 22,000 mt of aluminum plate/sheet and strip and about 11,000 mt of aluminum foil.

[SMM Aluminum Express News] PowerChina (Power Construction Corporation of China) will develop a new power plant to support Shandong Nanshan Group's integrated aluminium project in the Galang Batang Special Economic Zone (SEZ) on Bintan Island, Indonesia.

[SMM Aluminum Express News] PT Alamtri Minerals Indonesia Tbk (ADMR), part of the Alamtri Group owned by businessman Boy Thohir, targets full operation of the aluminium smelter managed by PT Kalimantan Aluminium Industry (KAI) in 2026. The jetty and supporting facilities are expected to be fully operational by the end of 2025. ADMR has budgeted capital expenditure of US$220–240 million for 2026, which includes its equity portion in KAI.

[SMM Aluminum Morning Meeting Summary: The SHFE/LME Price Ratio Continued to Weaken, and Aluminum Prices Were Expected to Fluctuate at Highs in the Short Term] Against the backdrop of continued tightening LME liquidity, LME aluminum still had upward momentum, with strong support from overseas prices, and the backwardation structure was expected to persist in the short term. China was in a phase of high inventory + weak fundamentals, and its upward momentum was clearly weaker than that outside China. Amid diverging domestic and external drivers, the SHFE/LME price ratio was expected to continue weakening, and aluminum prices were expected to continue fluctuating at highs in the short term.

[SMM Morning Comment on Cast Aluminum Alloy: Alloy Prices Continued to Hover at Highs, While Market Demand Was Significantly Suppressed] This week, secondary aluminum alloy prices continued to rise, but the pace of demand follow-up was relatively slow. In the short term, raw material costs remained at high levels, providing strong support for ADC12 prices; however, if prices continue to rise, the suppressive effect of high prices on demand will become increasingly evident. Meanwhile, as operating rates gradually recover, there are also expectations of a mild increase on the supply side. ADC12 prices are expected to fluctuate at highs in the short term. Going forward, it is recommended to focus on the pace of downstream order release, the pressure on the market from the supply recovery process, and the impact of the Middle East situation on aluminum prices.

[SMM Weekly Survey of the Aluminum Downstream Sector: Downstream Aluminum Operating Rate Continued to Rebound to 61.9%, with High Prices Suppressing the Peak "Golden March" Season] This week, the weekly operating rate of leading downstream aluminum processing enterprises in China rose 2.4 percentage points MoM to 61.9%, overall extending the post-holiday recovery trend, with all segments rebounding MoM, and the industry as a whole entering a normal production pace.

[[Weekly Review of Aluminum Scrap and Secondary Aluminum]]Aluminum Prices Strengthened This Week, Rising Costs Drove Up ADC12 Prices

[SMM Aluminum Price Weekly Review: Geopolitical Disruptions Dominate, Aluminum Prices Remain Elevated]

SMM, March 12: The SHFE aluminum 03 contract opened today and fluctuated upward. High aluminum prices suppressed downstream demand, overall procurement demand remained weak, and market premiums continued to soften. Market premiums kept declining from the opening. Today’s mainstream transaction prices were concentrated at discounts of 20 yuan/mt to the average price. Today, the east China market’s shipments sentiment index was 3.32, up 0.05 MoM; the purchasing sentiment index was 2.57, down 0.09 MoM. With aluminum prices rising for consecutive days, traders and downstream processing enterprises in the central China market showed weak buying sentiment, while end-user clients were also less willing to pick up goods. Downstream plants faced inventory overhang, with costs and operating rates constrained, maintaining only limited restocking for rigid demand or suspending restocking altogether. Meanwhile, suppliers showed a strong willingness to sell but weak willingness to hold prices firm. Ultimately, actual mainstream transaction prices in the central China market were mostly around discounts of 10-20 yuan to the central China price. Today, the central China market’s shipments sentiment index was 2.67, up 0.02 MoM; the purchasing sentiment index was 2.32, down 0.02 MoM. Inventory side, aluminum ingot inventory in major consumption regions increased by 7,500 mt MoM today, with the inventory buildup mainly coming from Guangdong and Gongyi. In the short term, aluminum ingot continued its post-Chinese New Year seasonal inventory buildup, and affected by bullish sentiment, premiums are expected to remain on a narrowing trend.

[SMM Aluminum Morning Briefing: Middle East Situation Remains Deadlocked, Aluminum Prices Hold Up Well] Overall, macro geopolitical risks are providing support at the bottom of prices, while the continued buildup in China’s social inventory is weighing on aluminum prices. However, the geopolitical situation in the Middle East remains unclear. If the conflict persists, expectations for tighter global aluminum supply will remain strong, and aluminum prices will still have solid upward momentum. In the short term, aluminum prices are still expected to hold up well.