Sluggish Chinese alumina market weighs on Malaysian bauxite prices
2015-08-21 08:41:34 [Print]
BEIJING (Asian Metal) 21 Aug 15 - Although Malaysian bauxite supply volumes are expected to decline in Q4, the bauxite price is hard to move up. Prices for bauxite Al 40-41% Si 5%max remains at around USD40-41/t CIF China. Chinese alumina prices stay at the low level of RMB2,300-2,350/t (USD360-368/t) ex works, and some producers suffer losses.
A China-based alumina producer reported that their purchase price for high-grade Malaysian bauxite Al 46-48% Si 5%max is around USD56-57/t CIF China in August, the same with that in July, and they imported around 40,000-50,000t. “Imported bauxite prices are too high and we will stop consuming imported bauxite, after our stocks are used up,” said the source, who explained that alumina prices are too low and they suffer losses.
According to the source, they only consume 30,000t of imported bauxite each month and hold around 100,000t in stock, including Indonesian bauxite.
A Chinese alumina producer confirmed that it is difficult for Malaysian bauxite prices to climb up. Instead, he thinks the price may drop . “Big Malaysian bauxite suppliers intend to sell more, but we refused,” said the source, adding that Chinese alumina market is sluggish and bauxite resources become more various.
He pointed out that they will import around 400,000-500,000t of Malaysian bauxite in August, and prices for bauxite Al 42-43% Si 5%max are around USD34-35/t FOB Malaysia, unchanged compared to July. Besides of Malaysian bauxite, they have steady imports from Australia, around 400,000tpm . In addition, they imported around 30,000t of bauxite from the Republic of Montenegro in July.
The producer consumes around 1.3 million tonnes of bauxite each month.
A China-based alumina producer reported that their purchase price for high-grade Malaysian bauxite Al 46-48% Si 5%max is around USD56-57/t CIF China in August, the same with that in July, and they imported around 40,000-50,000t. “Imported bauxite prices are too high and we will stop consuming imported bauxite, after our stocks are used up,” said the source, who explained that alumina prices are too low and they suffer losses.
According to the source, they only consume 30,000t of imported bauxite each month and hold around 100,000t in stock, including Indonesian bauxite.
A Chinese alumina producer confirmed that it is difficult for Malaysian bauxite prices to climb up. Instead, he thinks the price may drop . “Big Malaysian bauxite suppliers intend to sell more, but we refused,” said the source, adding that Chinese alumina market is sluggish and bauxite resources become more various.
He pointed out that they will import around 400,000-500,000t of Malaysian bauxite in August, and prices for bauxite Al 42-43% Si 5%max are around USD34-35/t FOB Malaysia, unchanged compared to July. Besides of Malaysian bauxite, they have steady imports from Australia, around 400,000tpm . In addition, they imported around 30,000t of bauxite from the Republic of Montenegro in July.
The producer consumes around 1.3 million tonnes of bauxite each month.