The relationship between China aluminum sheet price and LME

Compare with LME changing speed, China aluminum sheet price is really slower to follow. Its rise may be mainly driven by the external market. Data released in the first quarter of 2018 show that China's electrolytic aluminum production has not increased. Even though we think that this year's Spring Festival may be late, we push back to the end of March in the peak season of March, including the past 20 days in April, and there has not been a decline in stock during this period.


Last December, Lun Aluminium’s gains for more than half a month had once made the market speechless. Now, Lun Aluminium's “combat capability” has once again escalated. It has achieved a 10% increase in the previous round in just five trading days, and it has hit its largest consecutive increase in 30 years, almost equaling its six-year high. On the other hand, although the domestic Shanghai aluminium futures market appears to follow up, but the momentum is clearly insufficient, continuous highs and lows trend, as of yesterday's close, Shanghai aluminium main contract closed at 14,325 yuan/ton.

On the one hand, Russian aluminum may export aluminum ingot to China, East Asia and other places. The way Russian Aluminum flows into China can be imported through conventional imports and depend on RMB settlement, but it needs to refer to the settlement of aluminum price in China, thereby sacrificing some profit. On the other hand, if the ratio of Shanghai anodised aluminium sheet is low, the export window of aluminum ingot in China may open, aluminum The export of products will also increase.

Therefore, demand is not as expected, output has not increased, but demand has not increased. Therefore, there is no obvious decline in inventory, we simply calculate the growth of China's electrolytic aluminum consumption in the first quarter of 2018, the apparent consumption is not detailed according to the growth of real estate, or the growth of the car. And the surplus inventory of the month is calculated by such a simple addition and subtraction method. The apparent consumer growth rate calculated is only 0.73%.

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