A: The fundamental downturn of the aluminum industry, which continues to be sluggish, is gradually emerging. The domestic aluminum spot price has rebounded significantly since March 25, and has risen 10% since the end of this week, rising from 12,320 yuan/ton to 13,560 yuan/ton.
At the same time, domestic aluminum spot stocks continued to decline since the second quarter, and continued to decline after reaching a high of 1.29 million tons on April 4, and fell to 840,000 tons as of July 11, a cumulative drop of 35%.
Xu Ping, a senior analyst in the industry, said that the current spot market is reluctant to sell, and customers are buying goods every day. In 2013, the market was “selling goods”, basically no supply, and the current supply is relatively tight.
An aluminum trader said that it was generally shipped at the highest price and the lowest price, but in the near future it is basically shipped at the highest price, and almost no bargaining with the purchaser.
In terms of external market, Lun Aluminum has seen an obvious rise since 2014. Since February 3, it closed at July 16, and the price has increased from US$1,675 to US$1,970, an increase of 17.6%.
Indonesia has banned the export of bauxite since January 2014 and increased the production cost of aluminum. The expansion of aluminum consumption is also good for aluminum prices. Xu Ping said that some large aluminum processing companies are undergoing product transformation, such as "aluminum strip steel" and "aluminum strip wood", which all support the rise of aluminum prices.
Main keywords: imported aluminum alloy, Alcoa, American Airlines metal