BEIJING: China’s primary aluminium output fell slightly in May versus April, official data showed on Wednesday, as restrictions on power consumption in the smelting hub of Yunnan forced some production cuts.
The world’s top producer of the metal churned out 3.32 million tonnes in May, the National Bureau of Statistics said. That was down 0.8% from April’s record high of 3.346 million tonnes but up 11.3% year on year.
Daily output in May works out to about 107,100 tonnes a day, versus around 111,500 tonnes in April, which had one less day.
Yunnan, a province in Southwest China whose hydropower resources have attracted several smelters looking to reduce their emissions, was hit by severe drought last month, limiting its ability to generate electricity.
It subsequently restricted metal producers’ power use, forcing some smelting capacity to be temporarily shut.
Shanghai aluminium prices hit a decade-high of 20,435 yuan ($3,193) a tonne on May 10 on concerns resurgent demand could exceed supply. They have since eased to 18,590 yuan but remain at very profitable levels for Chinese smelters.
Meanwhile, output of 10 nonferrous metals - including copper, aluminium, lead, zinc and nickel - was 5.45 million tonnes in May, the statistics bureau said.
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