Aluminum electrolytic enterprises to reduce the degree of "winter"

"This winter should not be too short." Xiong Weiping, general manager of China Aluminum Corporation, said at the recent annual press conference. In a word, this “winter” is the plight of the electrolytic aluminum industry once again facing a full loss after three years. Xiong Weiping told reporters that the price of electrolytic aluminum began to decline after ** months of this year, and it has now slipped to 15,500 yuan/ton, and the industry has fallen into a loss situation.

As a high-energy-consuming industry, the rising prices of coal and electricity have led to an increase in the cost of electrolytic aluminum. According to Xiong Weiping, at present, the average total cost of electrolytic aluminum in the industry is around 16,500 yuan/ton, and the price is only 15,500 yuan/ton. Xiong Weiping told reporters that since September 2011, due to the international economic downturn and the impact of domestic energy and raw material prices, the aluminum industry has once again seen an inverse phenomenon that the product price is lower than the production cost, and aluminum companies have suffered large losses.

It is worth noting that, on the one hand, raw materials are subject to human beings to lead to high costs, the current foreign dependence of China's bauxite has reached 60%; the other hand, the electrolytic aluminum industry is facing an overall excess capacity, which has reduced the aluminum price upside.

It is understood that some electrolytic aluminum companies have begun to reduce production, especially since December, due to rising electricity prices and other reasons to reduce production capacity of about 630,000 tons of electrolytic aluminum. According to the statistics of Baichuan Information, the operating rate of the electrolytic aluminum enterprises in the country has dropped to 83.6%, and more than 88% of the work started before October. Analysts pointed out that although compared to the current capacity of 21.05 million tons of start-up operations, aluminum smelting enterprises have limited production, but it is still not enough to support the aluminum price, but it is expected that there will be a large-scale production reduction of such electrolytic aluminum enterprises in the later period.