Morning Bites (part 1)

🏭Global primary aluminium output jumped 3.9% YoY in February, after the revised +2.7% YoY in January, the International Aluminium Institute reports. Specifically, China’s output (58% of global Al supply) increased 3.8% YoY. Meanwhile, according to Reuters, market participants expect China’s output to also gain in March, when the power supply seasonally improves. In our view, a recovery of construction activity in China (~58% of global Al demand in 2022), driven by record high liquidity injections in early-2024, remains the major possible trigger for subdued Al prices (with >50% of global Al suppliers breakeven or loss-making at current prices, on our numbers)

According to market estimates, if new projects start up in 3Q24 as planned, China’s aluminium supply is set to rise >2.5% YoY to 42.7mnt this year

#aluminium   
https://metals-wire.com/sector/Aluminium