China’s exports of unwrought aluminium and aluminium products dropped by 15.7pc in November, from the same period last year, on shortage of scrap supply and high local demand.
China exported 452,000mt of unwrought aluminium and other products in November, down from 536,000mt a year ago, according to preliminary data released by the country’s General Administration of Customs on Sunday.
Year-to-date, exports of unwrought aluminium and aluminium products slipped by 0.3pc to 5.25mn mt.
Exports dropped on lack of secondary raw material supply, after China started issuing scrap import restrictions in July earlier this year.
Aluminium alloy makers are facing a shortage of raw material and finding it difficult to meet even domestic demand, causing die casters to import unwrought aluminium and alloys from neighbouring markets like India and Malaysia to supply to Japan, a regular secondary aluminium alloy importer of China’s products. India has its order books filled for 20,000mt of secondary aluminium alloy until the end of February.
China issued scrap import quotas of 372,476mt in the third quarter ending September, and 101,489mt of quotas in the fourth quarter adding pressure on secondary aluminium and alloy makers to meet domestic and international demand.