Cnal News
China produced 3.02 mln t of primary aluminium in July 2019. Average daily output was 97.4 kt, up 0.5 kt/day from 96.9 kt for June and annualized output was 35.55 mln t. Domestic primary aluminium output is expected to lift to 3.04 mln t in August, with average daily output of 97.9 kt.
According to Baichuan consultancy, the weighted average electricity cost for primary aluminium smelting was RMB 0.3095/kWh in July, up RMB 0.0014/kWh from RMB 0.3081/kWh in June, which is an increase of 0.45% on-month but down 3.1% on-year. Full weighted average production costs for domestic smelters were RMB 13,682/t (with taxes), down RMB 834/t or 5.74% from RMB 14,516/t for the previous month, and down 3.5% from the same period last year. On average, domestic primary aluminium smelters enjoyed positive margins during July 2019.
China produced 5.91 mln t of alumina in July, with daily average output at 190.6 kt, a drop of 0.9 kt/day on-month from 1.915 kt/day in June. The full weighted average production cost for domestic refineries was RMB 2,518/t, down RMB 32.99/t or 1.29% from RMB 2,551/t from the previous month and down 5.15% on-year. Dropping bauxite prices in Shanxi and Henan in combination with a slight rebound in thermal coal prices have leveraged domestic alumina production costs lower by RMB 32.99/t from June 2019.
