Chalco raises domestic spot alumina price to match competitors

Interfax China reported that the Aluminum Corporation of China Co Ltd, China's largest alumina and aluminum producer has raised its domestic spot alumina price from CNY 2,200 per tonne to CNY 2,300 per tonne effective April 1st so that it is more in line with the higher spot alumina prices offered by non Chalco alumina producers. Mr Zhang Xin analyst from CBI China said "Currently, non-Chalco spot alumina prices exceed CNY 2,300 per tonne due to increased demand, as many aluminum production facilities have restarted operations due to strong spot aluminum prices. He said that strong spot aluminum prices in the near future will support spot alumina prices. However, spot alumina prices are unlikely to surge because they are currently above the domestic production cost level of CNY 2,000 per tonne. This means alumina producers may ramp up production, and the increased supply will put pressure on prices." The benchmark spot aluminum price on the Shanghai Yangtze River Nonferrous Metals Market stood between CNY 14,000 and CNY 14,030 per tonne on April 1st. (Sourced from Interfax China)