China’s imports of unwrought aluminium and aluminium products surged 72.1% year-on-year to 380,000 metric tons in April, according to data from the General Administration of Customs.
This sharp increase in imports during the month brought the total for the first four months of 2023 to 1.49 million tons, up 86.6% from the same period a year earlier.
Analysts attribute the robust growth in aluminium imports to stronger-than-expected factory output in China, as well as rapidly growing consumption from the country’s solar and wind power sectors. Aluminium is widely used in construction, transportation, and packaging.
A key factor behind the surging imports has been higher flows of Russian aluminium into China. China imported 392,775 tons of Russian aluminium in the first quarter, up 127.7% from the same period in 2022. This trend is expected to continue as the U.S. and Britain impose additional sanctions on Russian metals.
The rising imports have contributed to a buildup of aluminium stocks in China. Aluminium inventories on the Shanghai Futures Exchange stood at 231,765 tons on Friday, up 139.8% from the start of the year and near a one-year high.
In addition to unwrought aluminium, China’s imports of bauxite, a key raw material for aluminium production, also grew, climbing 18.8% to 14.24 million tons in April. Bauxite imports in the first four months reached 50.5 million tons, up 6.2% year-on-year.
The surge in China’s aluminium imports reflects the country’s robust domestic demand, as well as its growing reliance on overseas suppliers, particularly Russia, amid the ongoing geopolitical tensions. This trend could have implications for global aluminium trade flows and pricing.