January 5 Shanghai aluminum afternoon comment

In terms of fundamentals, SMM inventory on the 4th reported 801,000 tons, an increase of 03,000 tons from last Thursday; during the same period, the steel union statistics aluminum rod inventory was 117,500 tons, an increase of 21,000 tons from last Thursday; November unwrought aluminum and aluminum exports were 509,300 tons, an increase of 29,700 tons, imports were 397,900 tons, an increase of about 101,000 tons, of which primary aluminum imports were about 230,000 tons, an increase of about 90,000 tons
.

In terms of news, the resumption of electrolytic aluminum production in Yunnan has basically stopped due to electronic supply, and the pressure of limiting electrolytic aluminum production at the Northern Winter Olympics is not large; The price of alumina continued to fall sharply, and the cost accelerated to fall, and the profit of electrolytic aluminum was quickly repaired; European natural gas prices have soared, and many European aluminum plants such as Hydro and Alcoa have begun to reduce production, and more capacity may join the production cut
.
East China spot consumption performed strongly, and inventory dematerialization was higher than in the same period; The 14th Five-Year Plan of Yunnan Province requires accelerating the promotion of electrolytic aluminum projects under construction to be put into operation as soon as possible; Guangxi encouraged electrolytic aluminum enterprises to accelerate production and resume production
in the first quarter.