China witnessed a significant rise in aluminium imports in 2023, according to recent customs data, driven by strong demand and favorable market conditions.
- Import Increase: China’s aluminium imports, including unwrought aluminium and products, jumped 28% in 2023, reaching 3.06 million metric tons.
- Consumption Growth: The country’s primary aluminium consumption was projected to grow 3.9% to 42.5 million tons in 2023, spurred by demand in the solar and auto sectors.
- Contrasting Global Demand: While China saw increased consumption, demand outside China contracted by 3.5%, mainly in European and North American markets.
- Price Dynamics: Higher prices in China compared to global markets led to the influx of imports. Shanghai Futures Exchange’s most-traded aluminium contract saw a yearly gain of 9.1%.
- Russian Imports: China’s imports of primary aluminium from Russia saw a sharp rise, with a 178.3% increase in the first 11 months of 2023, making up 77% of China’s total imports in that period.
- Bauxite Imports: China also reported a 12.9% increase in bauxite imports in 2023, totaling 141.38 million tons.
Market Implications:
The surge in aluminium imports reflects China's robust demand for the metal, traditionally used in construction, transportation, and packaging.
