Chinese consumers insist on anticipation for steady Malaysian bauxite prices
2015-07-22 08:50:56 [Print]
BEIJING (Asian Metal) 22 Jul 15 - Although part Malaysian bauxite suppliers expect prices to move up by around USD1-2/t in Q3 because of possible supply decrease, Chinese consumers do not have the anticipation, as Guinea bauxite supply will increase and Indonesia may resume bauxite export for part mining owners, who have alumina refineries investment in Indonesia. Prices for bauxite Al 40-41% Si 5%max remain steady at USD29-30/t FOB Malaysia.
A bauxite consumer in China, with the monthly demand of around 1 million tonnes, reported that they will purchase around 400,000-500,000t of bauxite from Malaysia in July, the same with that in June. “We mainly buy bauxite Al 41%min at around USD33/t FOB Malaysia, and I think the price will not go up,” said the source.
He explained that a major Chinese consumer started Guinea bauxite shipment on July 20, and Guinea bauxite supply will weigh on Malaysian bauxite prices. In addition, Indonesia may issue new polices in August to allow bauxite export for those mining companies who have alumina refinery investment in Indonesia.
Another Chinese bauxite consumer confirmed that it is difficult for Malaysian bauxite prices to move up. “We import around 200,000t of bauxite from Malaysia this month, and the price for bauxite Al 42-43% is around USD35/t FOB Malaysia, unchanged with last month,” said the source.
According to the source, they will also import around 60,000t of bauxite from Guinea late July. In addition, negotiations on Brazil bauxite are going on. Therefore, various bauxite supplies will weigh on Malaysian bauxite.
The consumer needs consume around 150,000t of bauxite per month and holds around 500,000t of bauxite in stock.
A bauxite consumer in China, with the monthly demand of around 1 million tonnes, reported that they will purchase around 400,000-500,000t of bauxite from Malaysia in July, the same with that in June. “We mainly buy bauxite Al 41%min at around USD33/t FOB Malaysia, and I think the price will not go up,” said the source.
He explained that a major Chinese consumer started Guinea bauxite shipment on July 20, and Guinea bauxite supply will weigh on Malaysian bauxite prices. In addition, Indonesia may issue new polices in August to allow bauxite export for those mining companies who have alumina refinery investment in Indonesia.
Another Chinese bauxite consumer confirmed that it is difficult for Malaysian bauxite prices to move up. “We import around 200,000t of bauxite from Malaysia this month, and the price for bauxite Al 42-43% is around USD35/t FOB Malaysia, unchanged with last month,” said the source.
According to the source, they will also import around 60,000t of bauxite from Guinea late July. In addition, negotiations on Brazil bauxite are going on. Therefore, various bauxite supplies will weigh on Malaysian bauxite.
The consumer needs consume around 150,000t of bauxite per month and holds around 500,000t of bauxite in stock.
Alumina 98.5%min EXW China
Unit:RMB/mt
China alumina producers' output statistics by province by month
Unit: mt
