Minews - China’s refined aluminum imports shrink to lowest since 2008

(Minews) - Chinese refined aluminum imports in December fell to a six-year low as domestic production surged.

Inbound shipments of primary aluminum shrank to 1,857 tons in December, a tumble from 76,060 tons the previous year, according to data from the General Administration of Customs on Friday. The monthly figure was the lowest since June 2008. Full-year imports slumped 27 percent to 267,700 tons.

The fall in imports reflects China’s rising output of refined aluminum and its surging aluminum product exports. Its primary aluminum output rose 7.7 percent to a record 24.4 million tons last year, according to data from the Ministry of Industry and Information Technology.

Global aluminum makers may add a net 3.9 million tons of new capacity this year, a 39 percent increase from 2014, according to Bloomberg Intelligence. China may account for more than 90 percent of the capacity growth, which risks heightening local oversupply, curbing prices.

The government at the end of the year maintained its 15 percent duty on primary aluminum exports, making them less profitable for compared with semi-finished and finished metal, some of which carry a tax rebate. Shipments of aluminum product exports jumped to a record 492,000 tons in December, up 47 percent from the previous month.