This week, the operating rate of leading domestic aluminum downstream processing companies remained stable at 64.3% from last week, down 2.8 percentage points compared with the same period last year.
The operating rate of the aluminum sector has increased slightly driven by the increase in rail transit orders in East China, but construction profiles are still weak. Upstream and downstream related companies generally express concerns about the building materials market next year, and the operating pressure of the companies themselves has increased; the off-season effect of the aluminum foil sector has gradually emerged, and companies Orders fell, and operating rates fell accordingly. The operating rates of other sectors are relatively stable. Among them, only the cable sector maintains peak season conditions. Enterprises have many orders, most of which have been scheduled for next year. Most of the orders are bidding for ultra-high-voltage power grid projects. At the same time, there are also orders related to new energy photovoltaic aluminum conductors. Increase, enterprises have strong willingness to produce; the alloy and plate and strip sectors reported that the off-season is coming, and the number of new and on-hand orders continues to decrease, but at present, major factories can maintain stable operation.
Overall, the current terminal consumption is in the peak season and turns to the off-season. As the off-season atmosphere becomes stronger, most aluminum downstream construction starts will continue to weaken, except for cables.
This week, the operating rate of leading primary aluminum alloy companies is still 51.6%. Although the market has entered the traditional off-season, primary aluminum alloy companies generally maintain their original production status either to maintain market share or to complete the task of alloying aluminum water. At present, the primary aluminum alloy market is relatively clear and lacks variables. It is expected that the industry will continue to be pressured by insufficient market demand and the task of aluminum alloying, and the operating rate will continue to run smoothly.
