Monthly Fused Alumina Market Report Sep 2023

2023-10-16 08:24:52 【Print】

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Contents

1 Market Highlights 3
2 Economy and Policy 3
3 Market Movement 3
3.1 Chinese Market 3
3.1.2 Brown fused alumina 95%min F36 EXW China 3
3.1.3 White fused alumina 99%min 1-3mm EXW China 3
3.1.4 White fused alumina 99%min F36 EXW China 3
3.2 Chinese Export Market 4
3.2.1 Brown fused alumina 95%min 1-3mm FOB China 4
3.2.2 Brown fused alumina 95%min F36 FOB China 4
3.2.3 White fused alumina 99%min 1-3mm FOB China 4
3.2.4 White fused alumina 99%min F36 FOB China 4
3.3 International Market 4
3.3.1 Brown fused alumina 95%min 1-3mm EXW India 4
3.3.2 Brown fused alumina 95%min F36 EXW India 4
3.3.3 Brown fused alumina 95%min 1-3mm in Warehouse Rotterdam 5
3.3.4 White fused alumina 99%min 1-3mm in Warehouse Rotterdam 5
4 Company news 5
4.1 Guizhou Jinyi to resume brown fused alumina production 5
4.2 Shandong Qinai to increase white fused alumina production capacity 5
4.3 Luoyang Sansheng halted brown fused alumina production 5
4.4 Zhengzhou Pingyuan to resume white fused alumina production 5
4.5 Zhengzhou Hongxiang to resume white fused alumina production 5
5 Producer Statistics 6
5.1 Chinese brown fused alumina producers' statistics 6
5.1.2 Chinese brown fused alumina producers' output up by 2.35% MoM in September 6
5.1.3 Chinese brown fused alumina producers' inventory down by 25.70% MoM in September 6
5.2 Chinese white fused alumina producers' statistics 7
5.2.1 Chinese white fused alumina producers' operating rate down by 1.2% MoM in September 7
5.2.3 Chinese white fused alumina producers' inventory down by 17.18% MoM in September 8
6 Custom Statistics 8
6.1 China's brown fused alumina export volume fell 37.46% YoY in Aug 2023 8
6.2 China's white fused alumina export volume declined 15.43% MoM in Aug 2023 9
7 Relevant Industry News 10
8 Market Outlook for Next Month 10
8.1 Chinese Market 10
8.1.1 Brown fused alumina 95%min 1-3mm EXW China 10
8.1.2 Brown fused alumina 95%min F36 EXW China 10
8.1.3 White fused alumina 99%min 1-3mm EXW China 10
8.1.4 White fused alumina 99%min F36 EXW China 10
8.2 Chinese Export Market 10
8.2.1 Brown fused alumina 95%min 1-3mm FOB China 10
8.2.2 Brown fused alumina 95%min F36 FOB China 10
8.2.3 White fused alumina 99%min 1-3mm FOB China 10
8.2.4 White fused alumina 99%min F36 FOB China 10
8.3 International Market 10
8.3.1 Brown fused alumina 95%min 1-3mm EXW India 10
8.3.2 Brown fused alumina 95%min F36 EXW India 10
8.3.3 Brown fused alumina 95%min 1-3mm in Warehouse Rotterdam 10
8.3.4 White fused alumina 99%min 1-3mm in Warehouse Rotterdam 10

1 Market Highlights

Brown fused alumina:
Though the sluggish market demand, given the increased bauxite prices, most producers lift their prices this month.

Though the weak market demand, given the raised domestic prices, most exporters lifted their prices.

Considering the low prices from Chinese competitors, most Indian producers cut their prices this week to maintain sales.

Based on the increased prices from Chinese suppliers, despite the weak demand, most suppliers in European lifted their prices this month.

White fused alumina:
Given the increased alumina prices, most producers lift their prices this month.

Most exporters lift their prices on basis of the lifted domestic prices, though the weak market demand.

Based on the increased prices from Chinese suppliers, though the weak demand, most suppliers in European lift their prices this month.

2 Economy and Policy

2.1 China to scale up medium and long-term lending toward manufacturing sector
China is ready to unleash the potential of consumption further and create a consumption supply system of high-quality, said an official from the National Development and Reform Commission (NDRC) at a news conference held on September 17. According to NDRC, new efforts will be put in place to stabilize and expand investment in manufacturing. Efforts will also be made in providing more medium- and long-term loans towards manufacturing to realize high-quality growth of the sector.

2.2 China H1 foreign trade exceeds 20 trillion yuan for first time
China's total goods imports and exports volume rose by 2.1% year-on-year to 20.1 trillion yuan (2.81 trillion U.S. dollars) in the first half of 2023, and it is the first time the country's foreign trade volume exceeded the 20 trillion yuan mark in the January-June period, according to the General Administration of Customs. In the first six months, China's exports hit 11.46 trillion yuan (1.6 trillion U.S. dollars), up by 3.7% YoY, while imports slightly declined by 0.1% YoY to 8.64 trillion yuan (1.21 trillion U.S. dollars).

3 Market Movement

3.1 Chinese Market

By the end of September, the mainstream prices of Chinese brown fused alumina 95%min 1-3mm stood at RMB4,500-4700/t (USD608-636/t) Inc-VAT EXW D/A 180 days, up by RMB50/t (USD7/t) MoM. Though the sluggish market demand, given the increased bauxite prices, most producers lift their prices this month.

Prices of brown fused alumina 95%min 1-3mm EXW China from 2023-08-01 to 2023-09-27 (RMB/t)

3.1.2 Brown fused alumina 95%min F36 EXW China
In late September, the mainstream prices of Chinese brown fused alumina 95%min F36 stood at RMB4,900-5,100/t (USD670-697/t) Inc-VAT EXW D/P, up by RMB50/t (USD7/t) MoM. Though the sluggish market demand, given the increased bauxite prices, most producers lift their prices this month.

Prices of brown fused alumina 95%min F36 EXW China from 2023-08-01 to 2023-09-27 (RMB/t)

3.1.3 White fused alumina 99%min 1-3mm EXW China
By the end of September, the mainstream prices of white fused alumina 99%min 1-3mm stood at RMB4,340-4,440/t (USD591-604/t) Inc-VAT EXW D/P, up by RMB20/t (USD3/t) MoM. Given the high production costs, most producers, despite the sluggish market demand, most producers lift their prices this month.

Prices of white fused alumina 99%min 1-3mm EXW China from 2023-08-01 to 2023-09-27 (RMB/t)

3.1.4 White fused alumina 99%min F36 EXW China
In late September, the mainstream prices of Chinese white fused alumina 99%min F36 stayed at RMB4,750-4,950/t (USD645-673/t) Inc-VAT EXW D/P, up by RMB30/t (USD3/t) MoM. Given the firm production costs, though the sluggish Market demand, most producers lift their prices this month.

Prices of white fused alumina 99%min F36 EXW China from 2023-08-01 to 2023-09-27 (RMB/t)

3.2 Chinese Export Market

3.2.1 Brown fused alumina 95%min 1-3mm FOB China
By the end of September, the mainstream export prices of Chinese brown fused alumina 95%min 1-3mm stood at USD640-660/t Ex-VAT FOB China, up by USD5/t MoM. Though the weak market demand, given the raised domestic prices, most exporters lifted their prices.

Price trend of brown fused alumina 95%min 1-3mm FOB China from 2023-08-01 to 2023-09-27 (USD/t)

3.2.2 Brown fused alumina 95%min F36 FOB China
In late September, the mainstream export prices of Chinese brown fused alumina F36 stayed at USD690-710/t FOB China, up by USD5/t MoM. Though the weak market demand, given the raised domestic prices, most exporters lifted their prices.

Price trend of brown fused alumina 95%min F36 FOB China from 2023-08-01 to 2023-09-27 (USD/t)

3.2.3 White fused alumina 99%min 1-3mm FOB China
By the end of September, the export prices of Chinese white fused alumina 99%min 1-3mm increased to USD610-630/t FOB China, up by USD5/t MoM. Though the weak market demand, given the lifted domestic prices, most exporters lift their prices.

Price trend of white fused alumina 99%min 1-3mm FOB China from 2023-08-01 to 2023-09-27 (USD/t)

3.2.4 White fused alumina 99%min F36 FOB China

In late September, the mainstream export prices of Chinese white fused alumina 99%min F36 stayed at USD665-685/t FOB China, up by USD5/t MoM. Though the weak market demand, given the lifted domestic prices, most exporters lift their prices.

Price trend of white fused alumina 99%min F36 FOB China from 2023-08-01 to 2023-09-27 (USD/t)

3.3 International Market

3.3.1 Brown fused alumina 95%min 1-3mm EXW India
By the end of September, the mainstream prices of brown fused alumina 95%min 1-3mm in Indian Market stayed at INR71,000-72,000/t Inc-VAT EXW T/T 45 days, down by INR1,000/t from late last week. Considering the lower prices from Chinese competitors, most Indian producers cut their prices this month to maintain sales.

Price trend of brown fused alumina 95%min 1-3mm EXW India from 2023-08-01 to 2023-09-27 (INR/t)

3.3.2 Brown fused alumina 95%min F36 EXW India
By the end of September, the mainstream prices of brown fused alumina 95%min F36 in Indian Market stood at INR72,000-73,000/t Inc-VAT EXW T/T 45 days, down by INR1,000/t from late last week. Considering the lower prices from Chinese competitors, most Indian producers cut their prices this month to maintain sales.

Price trend of brown fused alumina 95%min F36 EXW India from 2023-08-01 to 2023-09-27 (INR/t)

3.3.3 Brown fused alumina 95%min 1-3mm in Warehouse Rotterdam
In late September, the mainstream prices of European brown fused alumina 95%min 1-3mm stood at EUR680-730/t T/T 30 days in Warehouses Rotterdam, up by EUR5/t MoM. Based on the increased prices from Chinese suppliers, despite the weak demand, most suppliers in European lifted their prices this month.

Price trend of brown fused alumina 95%min 1-3mm in Warehouse Rotterdam from 2023-08-01 to 2023-09-27 (EUR/t)

3.3.4 White fused alumina 99%min 1-3mm in Warehouse Rotterdam
By the end of September, the mainstream prices of white fused alumina 99%min 1-3mm hovered at EUR650-700/t in Warehouse Rotterdam, up EUR5/t MoM. Based on the increased prices from Chinese suppliers, most suppliers in European lift their prices this month.

Price trend of white fused alumina 95%min 1-3mm in warehouse Rotterdam from 2023-08-01 to 2023-09-27 (EUR/t)

4 Company news

4.1 Guizhou Jinyi to resume brown fused alumina production
Guizhou Jinyi Abrasive Materials Co., Ltd., a primary brown fused alumina producer from Guizhou, plans to resume brown fused alumina production on 15th September after three months of suspension, expecting to produce about 500t in September. "We stopped our production in mid-May due to the sluggish market demand. But given the decreased electricity charge in Guizhou and increasing inquiries, we plan to resume production since mid-September", a source from the company revealed, noting that they expect to produce about 500t in this month. With a production capacity of 45,000tpy, the company produced about 5,100t in the previous year and they produced about only 1,300t so far this year due to the sluggish market demand. They currently keep no inventory.

4.2 Shandong Qinai to increase white fused alumina production capacity
Qinai (Shandong) New Materials Co., Ltd., a major white fused alumina producer in Shandong, would increase their white fused alumina production capacity in late October from 78,000tpy to 138,000tpy. "Currently we have two tilting furnaces of 6300kVA in operation in our Zhanhua factory with capacity 60,000t in total, and another two furnaces of 6300kva are still under construction and would be completed in late October", an insider from the company disclosed, noting that their production capacity would increase to nearly 138,000tpy at that time. With an annual production capacity of 78,000t at present, they produced about 19,000t last year and produced about 45,000t so far this year. They hold an inventory of nearly 5,000t at the moment.

4.3 Luoyang Sansheng halted brown fused alumina production
Luoyang Sansheng New Materials Co., Ltd., a major brown fused alumina producer in Henan, halted their brown fused alumina production on 7th September due to thin profit, with an output of nearly 200t in September. "We stopped our production in on 7th September due to the thin profit. The abrasive grade calcined bauxite price increased by RMB50/t (USD7/t) due to short supply, but our buyers refused to accept higher prices. So we have to shut down owing to thin profit", a source from the company stated, noting that they produced about 200t in this month. With a production capacity of 30,000tpy, the company produced about 8,000t last year and about only 6,000t so far in 2023. They currently keep an inventory of nearly 1,300t.

4.4 Zhengzhou Pingyuan to resume white fused alumina production
As a white fused alumina producer from Henan, Zhengzhou Pingyuan Abrasive Materials Co., Ltd. plans to resume white fused alumina production since 2nd October, expecting to produce about 1,000t next month. "Due to the slack sales and thin profit, we halted production since early August to control costs and prevent inventory accumulation. However, as the market demand turned better and lower down inventory, we plan to resume production since early October", an insider from the company revealed, noting that they plan to produce about 1,000t next month. With a production capacity of 30,000tpy, they produced about 19,000t in the previous year, and produced about 6,000t so far in 2023. They hold an inventory of nearly 1,500t at present.

4.5 Zhengzhou Hongxiang to resume white fused alumina production
Zhengzhou Hongxiang Refractory Materials Co., Ltd., a white fused alumina producer from Henan, predict to resume their white fused alumina production next month, expecting an output of nearly 1,500t next month. "Due to the sluggish market demand and high inventory pressure, we suspended production since late August. As we have cut down stock volume and we plan to resume production since next Monday", a source from the company revealed, noting that they expect to produce about 1,500t in October. With a production capacity of 25,000tpy, they produced nearly 20,000t in 2022, and produced about 9,000t so far this year. They hold an inventory of nearly 600t at present, down by 2,400t MoM.

5 Producer Statistics

5.1 Chinese brown fused alumina producers' statistics

5.1.1 Chinese brown fused alumina producers' operating rate up by 0.57% MoM in September
In September 2023, China's operating rate of brown fused alumina producers was 24.5%, up by 0.57% MoM and up by 1.32% YoY.

Chinese brown fused alumina producers' operating rate from September 2022 to September 2023 (t)

In September 2023, the operation rate of producers in Henan was 19.43%, up by 0.78% MoM and down by 2.11% YoY; that in Guizhou was 19.65%, up by 0.62% MoM and up by 9.74% YoY; that in Shanxi was 36.32%, unchanged MoM and up by 1.86% YoY; that in other area was 49.73%, unchanged MoM and down by 6.13% YoY.

Chinese brown fused alumina producers' operating rate from September 2022 to September 2023 (t)

5.1.2 Chinese brown fused alumina producers' output up by 2.35% MoM in September
In September 2023, Chinese brown fused alumina producers' output was 69,600t, up by 2.35% MoM and up by 4.03% YoY.

Chinese brown fused alumina producers' output from September 2022 to September 2023

In September 2023, the output in Henan was 27,500t, up by 4.16% MoM and down by 16.15% YoY; that in Guizhou was 15,800t, up by 3.26% MoM and up by 107.89% YoY; that in other area was 13,800t, unchanged MoM and down by 10.96% YoY; that in Shanxi was 12,500t, unchanged MoM and up by 13.63% YoY.

Chinese brown fused alumina producers' output by province from
September 2022 to September 2023

5.1.3 Chinese brown fused alumina producers' inventory down by 25.70% MoM in September
In September2023, Chinese brown fused alumina producers' inventory was 79,200t, down by 25.70% MoM and down by 20.00% YoY.

Chinese brown fused alumina producers' inventory from September 2022 to September 2023(t)

In September 2023, the brown fused alumina producers' inventory in Henan was 32,100t, down by 23.93% MoM and up by 25.88% YoY; that in Guizhou was 20,700t, down by 19.14% MoM and down by 40.00% YoY; that in Shanxi was 13,200t, down by 21.42% MoM and down by 40% YoY; that in other area was 13,200t, down by 40.00% MoM, down by 22.35% YoY.

Chinese brown fused alumina producers' inventory by province from
September 2022 to September 2023(t)

5.2 Chinese white fused alumina producers' statistics

5.2.1 Chinese white fused alumina producers' operating rate down by 1.2% MoM in September
In September 2023, Chinese white fused alumina producers' operating rate was 38.27%, down by 1.2% MoM and down by 6.42% YoY.

Chinese white fused alumina producers' operating rate from September 2022 to September 2023 (%)

In September 2023, the operating rate of white fused alumina producers in Henan was 35.65%, down by 2.19% MoM and down by 12.87% YoY; that in Shandong was 42.64%, up by 0.13% MoM and up by 4.52% YoY; that in other area was 28.8%, unchanged MoM, down by 24.96% YoY.

Chinese white fused alumina producers' operating rates by province from September 2022 to September 2023

5.2.2 Chinese white fused alumina producers' output down by 3.03% MoM in September
In September 2023, Chinese white fused alumina producers' output was 73,400t, down by 3.03% MoM and down by 13.69% YoY.

Chinese white fused alumina producers' output from September 2022 to September 2023

In September 2023, the white fused alumina producers' output in Henan was 39,100t, down by 5.78% MoM and down by 28.32% YoY; that in Shandong was 32,800t, up by 0.30% MoM and up by 18.41% YoY; that in other area was 1,500t, unchanged MoM and down by 46.42% YoY.

Chinese white fused alumina producers' output by province from September 2022 to September 2023 (t)

5.2.3 Chinese white fused alumina producers' inventory down by 17.18% MoM in September
In September 2023, Chinese white fused alumina producers' inventory was 58,800t, down by 17.18% MoM and down by 3.92% YoY.

Chinese white fused alumina producers' inventory from September 2022 to September 2023 (t)

In September 2023, the white fused alumina producers' inventory in Henan was 33,600t, down by 20.00% MoM and down by 10.63% YoY; that in Shandong was 24,100t, down by 12.04% MoM and up by 6.16% YoY; that in other area was 1,100t, down by 31.25% MoM and up by 22.22% YoY.

Chinese white fused alumina producers' inventory by province from
September 2022 to September 2023 (t)

6 Custom Statistics

6.1 China's brown fused alumina export volume fell 37.46% YoY in Aug 2023
In Aug 2023, China exported 31,210.41mt of brown fused alumina, 49,902.45mt in the same period last year and 33,923.06mt in the previous month, down 37.46% YoY and down 8.00% MoM.
In Aug 2023, China exported USD23,696,724.00 worth of brown fused alumina, USD67,023,223.00 in the same period last year and USD26,148,518.00 in the previous month, down 64.64% YoY and down 9.38% MoM. The average price was USD759.26/mt, USD1,343.08/mt in the same period last year and USD770.82/mt in the previous month.
In Jan-Aug 2023, China exported a total of 271,572.81mt of brown fused alumina, 329,480.71mt in the same period last year, down 17.58% YoY.

China's export volume of brown fused alumina in previous 13 months

China's export price of brown fused alumina in previous 13 months

In Aug 2023, the top three export destinations of brown fused alumina for China were India, Japan and Belgium.
China exported 5,721.95mt of brown fused alumina to India, 2,688.48mt in the same period last year and 4,613.16mt in the previous month, up 112.83% YoY and up 24.04% MoM. The average price was USD746.67/mt, USD2,060.47/mt in the same period last year and USD796.21/mt in the previous month, down 63.74% YoY and down 6.16% MoM.
China exported 3,555.76mt of brown fused alumina to Japan, 3,796.68mt in the same period last year and 4,018.79mt in the previous month, down 6.35% YoY and down 11.52% MoM. The average price was USD780.79/mt, USD1,468.31/mt in the same period last year and USD850.07/mt in the previous month, down 46.80% YoY and down 8.12% MoM.
China exported 2,302.00mt of brown fused alumina to Belgium, 329.00mt in the same period last year and 1,345.10mt in the previous month, up 599.70% YoY and up 71.14% MoM. The average price was USD635.84/mt, USD1,194.61/mt in the same period last year and USD679.25/mt in the previous month, down 46.78% YoY and down 6.33% MoM.

China's export volume of brown fused alumina to top three countries in previous 13 months

China's export price of brown fused alumina to top three countries in previous 13 months

6.2 China's white fused alumina export volume declined 15.43% MoM in Aug 2023
In Aug 2023, China exported 31,392.50mt of white fused alumina, 36,994.71mt in the same period last year and 37,118.46mt in the previous month, down 15.14% YoY and down 15.43% MoM.
In Aug 2023, China exported USD25,597,630.00 worth of white fused alumina, USD64,435,235.00 in the same period last year and USD31,134,458.00 in the previous month, down 60.27% YoY and down 17.78% MoM. The average price was USD815.41/mt, USD1,741.74/mt in the same period last year and USD838.79/mt in the previous month.
In Jan-Aug 2023, China exported a total of 268,078.71mt of white fused alumina, 280,972.89mt in the same period last year, down 4.59% YoY.

China's export volume of white fused alumina in previous 13 months

China's export price of white fused alumina in previous 13 months

In Aug 2023, the top three export destinations of white fused alumina for China were India, Japan and South Korea.
China exported 6,463.08mt of white fused alumina to India, 2,280.01mt in the same period last year and 7,532.12mt in the previous month, up 183.47% YoY and down 14.19% MoM. The average price was USD653.65/mt, USD4,658.01/mt in the same period last year and USD709.09/mt in the previous month, down 85.96% YoY and down 7.76% MoM.
China exported 3,631.84mt of white fused alumina to Japan, 4,771.81mt in the same period last year and 4,701.76mt in the previous month, down 23.89% YoY and down 22.76% MoM. The average price was USD846.00/mt, USD1,255.45/mt in the same period last year and USD894.30/mt in the previous month, down 32.59% YoY and down 5.37% MoM.
China exported 3,441.54mt of white fused alumina to South Korea, 2,476.50mt in the same period last year and 2,843.56mt in the previous month, up 38.97% YoY and up 21.03% MoM. The average price was USD827.97/mt, USD3,087.15/mt in the same period last year and USD958.72/mt in the previous month, down 73.18% YoY and down 13.66% MoM.

China's export volume of white fused alumina to top three countries in previous 13 months

China's export price of white fused alumina to top three countries in previous 13 months

7 Relevant Industry News

7.1 Caustic calcined bauxite
The light burn calcined bauxite Al2O3 85%min prices stood firm in the past month, which lead to the stable production costs of brown fused alumina.

7.2 Alumina Powder
The price of alumina Al2O3 98.5%min Na2O 0.3%max stood stable in the past month, which supported the firm prices of white fused alumina.

7.3 Carbon electrode
Discouraged by the prices decline of petroleum coke, the mainstream prices moved down in the past month.

8 Market Outlook for Next Month

8.1 Chinese Market

8.1.1 Brown fused alumina 95%min 1-3mm EXW China
As the Market prices already decreased close to production cost line, most producers already cut or even halted production rather than lowering their prices further next month.

8.1.2 Brown fused alumina 95%min F36 EXW China
As the Market prices already dropped close to production cost line, most producers already decreased or even suspended production instead of cutting their prices further.

8.1.3 White fused alumina 99%min 1-3mm EXW China
As the alumina price keep stable, most producers would firm their prices next month.

8.1.4 White fused alumina 99%min F36 EXW China
As the alumina price keep steady, most producers would hold their prices firm next month.

8.2 Chinese Export Market

8.2.1 Brown fused alumina 95%min 1-3mm FOB China
Considering the stabilized domestic prices, the export prices would increase next month.

8.2.2 Brown fused alumina 95%min F36 FOB China
Given the flattened domestic prices, the export prices would rise next month.

8.2.3 White fused alumina 99%min 1-3mm FOB China
Considering the steady domestic prices, the export prices would move up next month.

8.2.4 White fused alumina 99%min F36 FOB China
Considering the stable domestic prices, the export prices would go up next month.

8.3 International Market

8.3.1 Brown fused alumina 95%min 1-3mm EXW India
Though the prices in Chinese Market decreased, most Indian producers still intend to keep their prices firm based on firm production cost and no inventory pressure.

8.3.2 Brown fused alumina 95%min F36 EXW India
Though the prices in Chinese Market decreased, most Indian producers still intend to keep their prices firm based on firm production cost and no inventory pressure.

8.3.3 Brown fused alumina 95%min 1-3mm in Warehouse Rotterdam
Based on the stable prices in Chinese export Market, the prices in Europe would keep stable next month.

8.3.4 White fused alumina 99%min 1-3mm in Warehouse Rotterdam
Based on firm prices in Chinese export Market, the prices in Europe would stay steady next month.