Swelling China Aluminum (4.78, -0.04, -0.83%) is the global output capacity. Recently, in Vancouver held the 30th General Assembly on the global aluminum industry, companies have expressed concerns about the future of the global market – domestic overcapacity context, China needs into Chinese supply. From the cake into a market competitor for this role reversal, or will change the competitive landscape of the global aluminum market.
Exports to China Customs statistics released on the 21st, this year from January to August total exports of 2.84 million tons of aluminum, an increase of 30.1%. Behind the increase in exports is a serious domestic aluminum production overcapacity and weak consumer demand, starting in 2011, the domestic apparent consumption of aluminum yearly growth rate slowed down, while capacity expansion already taking strides. According to the business community statistics show that as of the end of 2014 domestic production capacity has reached 44 million tons, while production was only 23.684 million tons, capacity utilization is just over half, by contrast, international capacity utilization of about 90%. Despite the first half of this year, about 500,000 tons / year of aluminum production capacity shut down, but there are still more than 100 million tons / year of new capacity into production, with the energy resources of the region is still expanding production scale. Domestic electrolytic aluminum production to 35,000 tons per year rate increase.
Want to digest production capacity utilization, domestic aluminum began to seek export opportunities. Global capacity utilization contrast, the 80% share of the global production capacity of China will gradually become a major exporter of aluminum, it is expected to stir up international markets beam aluminum consumption. Also there is indeed a certain demand on the international market space, according to Dow Jones news 23, data from the World Bureau of Metal Statistics (WBMS) released Wednesday showed that in 2015 January-July period, the global supply shortage of 487,000 tons of aluminum, 2014 a shortage of 754,000 tons.