China’s primary aluminium production witnessed a notable 5.5% increase in the first two months of 2024 compared to the same period a year ago, as indicated by official data released on Monday. The world’s largest aluminium producer generated 7.1 million metric tons of primary aluminium during January and February, according to figures from the National Bureau of Statistics (NBS). China consolidates production data for these two months to offset the influence of the Lunar New Year holidays, ensuring a more accurate representation of industry trends. The growth in aluminium output, a crucial material utilized in automotive, construction, and packaging sectors, was fueled by improved profit margins observed in the sector. Smelters benefitted from heightened profitability, with average profits reaching 1,964 yuan ($272.90) per ton in February—marking a significant 50% increase from the corresponding period in the previous year, as highlighted by research firm Antaike. Despite the positive trend, Antaike also noted a decline in profits in recent months due to elevated alumina prices, a key raw material for aluminium smelting. Moreover, overall production of ten nonferrous metals, encompassing copper, lead, zinc, and nickel among others, surged by 5.7% to reach 12.77 million tonnes year-on-year, underscoring broader growth in the non-ferrous metals sector.
China’s Jan-Feb Aluminium Output Surges 5.5% on Higher Profit Margins