Why does the price of tabular alumina rise so much?
Because the raw material of tabular alumina rised a lot, and still rising.
The alumina market has shown strong upward momentum recently, with prices rising 46.1% since the beginning of the year to a record high of CNY4,800. Behind this rise are significant changes in the global alumina supply and demand pattern.
First of all, many important alumina producing areas at home and abroad are facing production difficulties. Domestically, bauxite production in Shanxi and Henan (Shanxi and Henan) regions is under pressure due to environmental protection and safety supervision, and the resumption of production is slow. Data show that from January to September 2024, bauxite production in Shanxi and Henan dropped by 32.6% and 21.6% year-on-year respectively. Internationally, Guinea’s rainy season has limited bauxite shipments, and EGA’s bauxite exports have been suspended by Guinea customs. In addition, Alcoa shut down its Kwinana alumina refinery in Western Australia, and Rio Tinto’s alumina smelter in Queensland also reduced production due to force majeure. Together, these factors have led to serious shortages in global alumina supply.
