BEIJING: China’s primary aluminium output in May rose only slightly from a year earlier, data released on Thursday showed, as production in most regions remained steady while output growth was capped by extended power curbs in the southwestern Yunnan province.
The world’s top aluminium producer churned out 3.42 million metric tons of primary aluminium last month, up 1.1% from the same period a year ago, according to data from the National Bureau of Statistics.
May’s data equates to a daily output of 110,323 metric tons, compared with 110,000 tons per day from the previous month, a Reuters calculation showed.
The eastern Shandong province, northern Xinjiang and Inner Mongolia, which together account for nearly half of the country’s total capacity, maintained strong production rates in May as they reaped good profits.
Smelter profits remained around 2,000 yuan ($278.64) a metric ton in May thanks to lower raw material costs and coal prices, according to industrial information provider Mysteel.
However, prices of the light metal used in construction, transportation and packaging sectors have remained under pressure due to sluggish domestic and export demand.
The southwestern Yunnan province, the country’s fourth-biggest aluminium producer, continued to suffer from prolonged production cuts amid a power crunch.
India unlikely to get US exemption on steel, aluminium tariffs
Power supplies to the province’s smelters will be increased later this month after more rainfall recently, and analysts expect to see over 1 million metric tons of capacity resuming output.
For the January-to-May period, China produced 16.71 million metric tons of aluminium, up 3.4% from the same period last year, the data showed.
Production of 10 nonferrous metals - including copper, aluminium, lead, zinc and nickel – rose 5.1% to 6.15 million metric tons from a year earlier.
Year-to-date output was up 7.4% at 30.24 million metric tons.
The other non-ferrous metals are tin, antimony, mercury, magnesium and titanium.
Comments
Comments are closed.