China’s aluminium ingot inventories are depleting faster than expected; SMM expects 2023 to round up at 500,000 tonnes

However, in the rest of this month, inventory depletion may face disruptions because lessened aluminium billet production in northern regions will lead to a potential cast ingot volume increase in some areas. Alongside, the inflow of imported ingots will rise as import windows open.

Shanghai Metals Market estimates that primary aluminium production in China will grow in December 2023 to 3.56 million tonnes, up by 2 per cent from 3.49 million tonnes in November. But compared to October 2023, the output is expected to stand 2.22 per cent lower than 3.641 million tonnes.

By the end of November, China's total aluminium built-in capacity was 45.19 million tonnes, while the operating capacity was 41.89 million tonnes, according to SMM.