★ China’s dependency on imported bauxite grows continuously
Most new alumina projects from coastal regions of China rely on imported bauxite, while inland alumina refineries face both challenges of local bauxite shortage and high imported bauxite cost. On the other hand, Indonesia declared to ban bauxite export from June, 2023, while new projects from Guinea witness slow progress.
★ Coastal regions of China witness more new alumina projects
More and more new alumina projects from China choose to locate in coastal areas like Guangxi, while old alumina refineries from Shanxi and Henan cut production because of the increased cost.
★ Seasonal power shortage in southwest China challenges new aluminum smelters
For the quickly increased aluminum projects in southwest China, the hydro-power supply becomes short in dry season and new smelters face challenges of unstable production.
★ Aluminum fluoride producers in Europe suffer high energy cost and Chinese export prices become more competitive
Chinese aluminum fluoride export prices become more competitive than higher prices in Europe, where producers suffer high energy cost. Aluminum smelters increase the purchase volume from China.
