Bauxite Equilibrium Prices Fall Amid Chinese Supply Diversification

KEY MESSAGES

BAUXITE

1. Chinese bauxite import prices have continued to decline on ample supply. 

2. The Chinese bauxite market is in surplus and inventories of imported material at record levels. 

3. Despite lower prices of imported bauxite, some Chinese alumina refineries have decided to stop using imported material and switched to domestic ore given current production economics. 

4. Chinese bauxite supplier diversification has structurally pushed bauxite prices to the downside. 

ALUMINA

1. Alumina spot prices have bottomed-out and could rally ahead 

More details in full report.