Aluminum market report July 2012

Contents
Abstract 1
1．Financial overview 1
1.1 Domestic finance and economy 1
1.1.1 CPI reached the bottom line for the past 24 months in June 1
1.1.2 PMI in July in China 2
1.1.3 Nonferrous metal prices rebounded due to stimulating policy expectation 3
1.2 International finance and economy 3
1.2.1 Crude oil prices increased with fluctuations in the international market in June 3
1.2.2 USD index increased slightly 4
2 Company news 5
2.1 International company news 5
2.2 Chinese domestic market 5
3 Chinese domestic market review 7
3.1Aluminum ingot market 7
3.1.1 Aluminum ingot price kept going down 7
3.1.2 Traders’ willing to release products weak 7
3.2 Alumina market 8
3.2.1 Alumina price decreased while trading thin 8
3.3 Aluminum alloy 8
3.3.1 Dropping price of Chinese recycled aluminum alloy ingot 8
3.3.2 Downstream purchasing down 9
3.3.3 Processing charge of A356 aluminum alloy low-hold 9
3.3.4 Low purchasing in A356 aluminum alloy market with higher stocks 10
3.4 Carbon anode 10
3.4.1 Carbon anode price goes down 10
3.4.2 Carbon cathode price going down a bit while sales stable 11
4 International market review 11
4.1 LME aluminum price dropped slightly in July 11
4.2 LME aluminum inventories increased sharply in July 12
4.3 Aluminum alloy export market came into a stalemate 12
4.4 Australian alumina market dull 13
4.5 Indonesia bauxite price increased 14
4.6 Export price of aluminum fluoride moves down 15
5 Related industry development 16
5.1 Aluminum fluoride price drops below the cost line again 16
5.2 Aluminum hydroxide price stable 16
5.3 Chinese aluminum scraps price fluctuated in small range 17
5.4 Petroleum coke price decreases and coal tar pitch price stable 17
6 Production data 17
6.1 Primary aluminum 17
6.1.1 Chinese primary aluminum production increased slightly in July 17
6.1.2 Some new smelting capacity comes on test in northwest regions 18
6.2 Aluminum Alloy 18
6.2.Asian Metal Copyright2.Asian Metal Copyright1 Chinese aluminum alloy production up by 18.7% YOY in the first half year of 2012 18
6.2.2 Chinese average operating rate of recycled aluminum alloy ingot plants down to 48% in Jul 20
6.2.Asian Metal Copyright2 LME aluminum inventories increased sharply in July 12 4.Asian Metal Copyright3 Chinese motors production up by 4.1% YOY in the first half year of 2012 21
6.3 Alumina 22
6.3.Asian Metal Copyright2 International finance and economy 3 1.Asian Metal Copyright1 Chinese alumina production down by 0.9% MOM 22
6.4 Aluminum fluoride out up by 8.3% MOM in July 23
6.5 Carbon anode 24
7 Import & Export data analysis 25
7.1 Bauxite 25
7.1.Asian Metal Copyright3 Alumina 22 6.Asian Metal Copyright1 Chinese bauxite import down by 83.68% MOM in June 25
7.1.3 Top ten bauxite importers in June 26
7.2 Alumina 26
7.2.Asian Metal Copyright2 USD index increased slightly 4 2 Company news 5 2.Asian Metal Copyright1 Chinese alumina import up by 324.25% YOY in June 26
7.2.2 Top eight alumina importers in June 27
7.2.3 Chinese major alumina import price 28
7.3 Aluminum alloy 28
7.3.Asian Metal Copyright1.Asian Metal Copyright1 Chinese aluminum alloy export down by 21.5% YOY in June 28
7.3.2 Top ten aluminum alloy exporters in Jun 2012 29
7.4 Aluminum scraps 30
7.4.Asian Metal Copyright3 Processing charge of A356 aluminum alloy low-hold 9 3.Asian Metal Copyright1 Chinese aluminum scraps import down by 2.3% in the first half year of 2012 30
7.4.2 Top ten Chinese aluminum scraps importers in Jun 2012 31
8 Outlook for August 31
8.1 The space for aluminum ingot price rebound quite limited 31
8.2 Alumina price hard to fluctuate too much 31
8.3 There is still space for the price to decline 32
8.4 Carbon anode price may decrease a bit 32

Picture& Table Column
Picture 1 CPI and PPI in China during 2011-2012 2
Picture 2 Chinese PMI during 2011-2012 3
Picture 3 Crude oil futures prices in US 4
Picture 4 USD index 4
Picture 5 China aluminum ingot price (RMB/t) 7
Picture 6 Chinese origin alumina price movement in July (RMB/t) 8
Picture 7 Chinese ADC12 aluminum alloy price 9
Picture 8 Chinese A356 aluminum alloy price 10
Picture 9 LME 3-month Aluminum settlement price trend (USD/t) 12
Picture 10 LME Aluminum inventories in June (tons) 12
Picture 11 Australian origin alumina price movement (USD/t) 13
Picture 12 Australian origin alumina price movement (RMB/t) 14
Picture 13 Indonesia bauxite CIF China price movement Jan-Jul (USD/t) 14
Picture 14 Indonesia bauxite import price Jan-Jun (USD/t) 15
Picture 15 Aluminum fluoride price FOB China Jan-July 15
Picture 16 Chinese aluminum fluoride prices movement (RMB/t) 16
Picture 17 Aluminum hydroxide price movement in July (RMB/t) 17
Picture 18 Chinese aluminum alloy production in 2011 and 2012 (Unit: ton) 19
Picture 19 Chinese recycled aluminum alloy plants’ operation rate from January to July 21
Picture 20 Chinese motor production and sales of 2011 and 2012 (Unit: 10,000) 22
Picture 21 Chinese alumina production Jan-Jul 2012 23
Picture 22 Chinese aluminum fluoride output Jan-July 24
Picture 23 Chinese Carbon anode production by region July 24
Picture 24 Chinese Bauxite Import in 2012 25
Picture 25 Chinese bauxite import different countries in June 26
Picture 26 Chinese alumina import in 2012 27
Picture 27 Chinese major alumina import price in June 28
Picture 28 Chinese aluminum alloy export in 2011 and 2012 (Unit: ton) 29
Picture 29 Chinese aluminum scraps import of 2011 and 2012 (Unit: ton) 30

Table 1 Chinese origin carbon anode market prices by region on 25 Jul 11
Table 2 Primary aluminum production in Chinese major producing areas in July (Unit: 10,000t) 18
Table 3 Chinese bauxite importer in June, 2012 26
Table 4 Top eight Chinese alumina import companies in June, 2012 27
Table 5 Chinese top ten aluminum alloy exporters in June 2012 29
Table 6 Chinese top ten Chinese aluminum scrap importers in June 2012 31

.Asian Metal Copyright1 The space for aluminum ingot price rebound quite limited 31 8Asian Metal Copyright