Non-ferrous Processing Association: Aluminum storage is a temporary measure

“The aluminum ingots of the State Reserve are only temporary measures taken in response to serious difficulties in the electrolytic aluminum industry, and the government will adjust them at any time based on market effects.” Ma Shiguang, Secretary-General of China Nonferrous Metal Processing Industry Association, held on the 25th of 2009 The Shanghai Copper-Alium Summit stated.

Ma Shiguang said that the country’s plan to collect and store 1 million tons of aluminum ingots has now completed a storage of 580,000 tons, which has achieved the desired results and has played a role in starting production and stabilizing prices. With the rise in aluminum prices, many domestic production capacity cuts have begun to resume production. It is difficult to predict whether aluminum prices will remain above 14,000 yuan/ton in the future.

“At present, the domestic and international prices of aluminum are upside down, not because of the state's storage and storage.” Ma Shiguang said that LME stocks are as high as more than 3 million tons, and the cost of electrolytic aluminum spot prices in Western countries is nearly 50% lower than China's, which are all caused by foreign aluminum. The price is lower than domestic reasons. In this regard, the literature army of the China Nonferrous Metals Industry Association vice president believes that in the absence of trade barriers, the domestic aluminum price spread will soon narrow or even level.