* More than half new capacity to come from hydropower-rich Yunnan
* Antaike now expects China aluminium consumption to rise in 2020
* Sees 820,000 T net primary metal inflow, double earlier forecast
By Min Zhang and Shivani Singh
CHONGQING, China, Oct 14 China will launch another 3
million tonnes of annual aluminium production capacity in 2021 - more than
half of it in the emerging smelting hub of Yunnan province, research house
Antaike said on Wednesday.
Abundant hydropower for the energy-intensive smelting process has
brought major aluminium producers like China Hongqiao Group to
Yunnan after the government, which plans to limit capacity to about 45
million tonnes, said companies would need to be in clean-energy-rich areas
to keep developing.
Antaike, the research arm of the China Nonferrous Metals Industry
Association, sees 1.88 million tonnes of capacity coming on stream in
Yunnan, in southwest China, next year, following 1.63 million tonnes this
year, analyst Wang Hongfei said at the China International Aluminum Week
conference in Chongqing.
It also expects 370,000 tonnes to launch in Guangxi, 550,000 tonnes in
Inner Mongolia and 100,000 tonnes apiece in Shanxi and Guizhou in 2021.
While installed capacity will reach an estimated 43 million tonnes at
end-2020, the 45 million tonnes ceiling will not be breached next year
because some of the additions involve swapping decommissioned capacity for
new production, Wang said following her presentation.
Primary aluminium consumption in China, the world's biggest producer
and user of the metal, is seen rising by 1.7% in 2021. That follows a
projected 1.6% increase in consumption in 2020 - a revision of Antaike's
earlier forecast of a drop in the wake of the coronavirus pandemic.
"We expect traditional demand will gradually recover and new
infrastructure will bring new consumption," said Wang, cautioning that
China's aluminium exports still face a "severe" situation due to trade
Antaike also more than doubled its forecast for China's net primary
aluminium imports this year.
China's primary aluminium market balance (tonnes) Source: Antaike
2019 2020E 2021E 2021/2020 pct chg
Production 35.93 mln 37.15 mln 38 mln 2.30%
Net imports -10,000 820,000 200,000 N/A
Total supply 35.93 mln 37.97 mln 38.2 mln 0.60%
Consumption 36.62 mln 37.2 mln 37.85 mln 1.70%
Supply-demand balance -690,000 770,000 350,000 N/A
Separately, Antaike analyst Huo Yunbo said China would add 6.7 million
tonnes of capacity for aluminium raw material alumina in 2021 and another
4.6 million tonnes in 2022. Current capacity is 88.15 million tonnes.
China's alumina market balance (tonnes) Source: Antaike
2019 2020E 2021E
Production 71.55 mln 70.49 mln 72.9 mln
Net imports 1.41 mln 3.5 mln 4 mln
Total supply 72.96 mln 73.99 mln 76.9 mln
Total demand volume 71.98 mln 74.53 mln 76.16 mln
Supply-demand balance 980,000 -540,000 740,000
(Reporting by Min Zhang and Shivani Singh; writing by Tom Daly
Editing by Robert Birsel)
* Jinchuan to submit proposal to sell cobalt to China
NEW DELHI/BEIJING, Aug 28 India's steel exports
more than doubled between April and July to hit their highest
level in at least six years, boosted by a surge of Chinese
buying in defiance of tensions between Beijing and New Delhi.
NEW DELHI/BEIJING India's steel exports more than doubled between April and July to hit their highest level in at least six years, boosted by a surge of Chinese buying in defiance of tensions between Beijing and New Delhi.
BEIJING China Baowu Steel Group, the country's top steelmaker by output, has agreed to take a controlling stake in Taiyuan Iron & Steel (Group) Co Ltd (TISCO) in the latest consolidation of the country's mammoth steel sector.
BEIJING China raised its mining quota for rare earth minerals by 6.1% in 2020 to a record annual high, the natural resources ministry said, in the effort to ramp up production of the prized minerals.
BEIJING, July 8 China's Nanjing Iron & Steel Co
Ltd said on Wednesday it has completed its first
blockchain-backed trade in iron ore after booking a $16.87
million shipment of the steelmaking ingredient from a joint
venture of miner Rio Tinto.
MANILA/BEIJING Behind the boom in China's steel production since March - and hopes for a quick economic recovery - is a tale of two diverging sectors: construction demand for infrastructure projects has been strong, while manufacturing has been slower to bounce back.
BEIJING China's steel association and major steelmakers have called for an increase in domestic iron ore production as well as greater investment in exploration overseas to ensure supplies.
SINGAPORE/BEIJING, May 22 Copper inventories in
warehouses tracked by the Shanghai Futures Exchange (ShFE)
dropped at the fastest rate in nearly eight months, weekly
exchange data showed on Friday.