Chinese secondary aluminum alloy ingot market sees rare deals
2023-04-21 12:11:09 [Print]
BEIJING (Asian Metal) 21 Apr 23 - This week, the demand of downstream customers for secondary aluminum alloy ingot remains weak, leading to increasing inventory pressure on producers. On Thursday, mainstream prices for Chinese aluminum alloy ingot ADC12 stood at RMB18,600-18,800/t (USD2,702-2,731/t) delivered D/P, the same as Wednesday. Insiders said that downstream customers place rare orders with less intention to replenish stocks now, so prices for Chinese aluminum alloy ingot ADC12 would decline in the coming week.
A producer in South China revealed that the demand of their downstream customers for secondary aluminum alloy ingot decreases significantly at present, as a result, their inventory increases to current about 500t, while they held no stock in the same period in March. "On Thursday, we offered RMB18,800/t (USD2,731/t) delivered D/P for aluminum alloy ingot ADC12 and could accept a concession of RMB100/t (USD14.53/t) for regular customers, unchanged from Wednesday. At RMB18,800/t (USD2,731/t) delivered D/P, we sold 30t today and 30t yesterday," the source said, reckoning that prices for Chinese aluminum alloy ingot ADC12 would drop in the coming week as the demand for secondary aluminum alloy ingot keeps weak now.
With an annual production capacity of 60,000t, the producer produced about 23,000t in 2022 and about 5,000t in the first quarter of this year. Holding about 500t of stocks now, the producer expects to produce about 2,000t in April, stable from March.
A producer in Central China reported that the demand for secondary aluminum alloy ingot is weak this week, and their inventory increases to about 400t, compared with no inventory in late March. "On Thursday, we offered RMB RMB18,800/t (USD2,731/t) delivered D/P for aluminum alloy ingot ADC12 and could accept a concession of RMB100/t (USD14.53/t), in line with Wednesday. We sold 32t at RMB18,700/t (USD2,716/t) delivered D/P today and 120t at RMB18,600/t (USD2,702/t) delivered D/P on Tuesday," the source said, adding that downstream consumers place few orders with less intention to replenish stocks now, so prices for Chinese aluminum alloy ingot ADC12 would move down in the coming week.
With an annual production capacity of 150,000t, the company started production in February this year and expects to produce about 4,000t in April, compared with about 3,500t in March. They hold about 400t of stocks now.
A producer in South China revealed that the demand of their downstream customers for secondary aluminum alloy ingot decreases significantly at present, as a result, their inventory increases to current about 500t, while they held no stock in the same period in March. "On Thursday, we offered RMB18,800/t (USD2,731/t) delivered D/P for aluminum alloy ingot ADC12 and could accept a concession of RMB100/t (USD14.53/t) for regular customers, unchanged from Wednesday. At RMB18,800/t (USD2,731/t) delivered D/P, we sold 30t today and 30t yesterday," the source said, reckoning that prices for Chinese aluminum alloy ingot ADC12 would drop in the coming week as the demand for secondary aluminum alloy ingot keeps weak now.
With an annual production capacity of 60,000t, the producer produced about 23,000t in 2022 and about 5,000t in the first quarter of this year. Holding about 500t of stocks now, the producer expects to produce about 2,000t in April, stable from March.
A producer in Central China reported that the demand for secondary aluminum alloy ingot is weak this week, and their inventory increases to about 400t, compared with no inventory in late March. "On Thursday, we offered RMB RMB18,800/t (USD2,731/t) delivered D/P for aluminum alloy ingot ADC12 and could accept a concession of RMB100/t (USD14.53/t), in line with Wednesday. We sold 32t at RMB18,700/t (USD2,716/t) delivered D/P today and 120t at RMB18,600/t (USD2,702/t) delivered D/P on Tuesday," the source said, adding that downstream consumers place few orders with less intention to replenish stocks now, so prices for Chinese aluminum alloy ingot ADC12 would move down in the coming week.
With an annual production capacity of 150,000t, the company started production in February this year and expects to produce about 4,000t in April, compared with about 3,500t in March. They hold about 400t of stocks now.
