Since 2018, the United States has been constantly provoking the aluminum trade troubles, shaking the global aluminum profile market. Contemporary China has become the world's largest aluminum producer and consumer. Influenced by the tariff policy of the United States, China's aluminum exports have soared this year.
Since the first quarter of this year, with the rising aluminum price of Lun Aluminum Exchange, China's domestic aluminum ingot inventory has been increasing, which offset the impact of us sanctions on Russian aluminum in the same period. At this time, China's aluminum exports reached a record high level.
Aluminum profile workbench
China is the largest aluminum supplier in the United States, and China can provide half of the world's aluminum production, and Russia ranks second. The 10% aluminum tariff proposed by the United States is actually a double-edged sword. While the sword targets China and Russia, the sword will also cut the United States itself. Because the high-end aluminum profile products are basically produced in the United States, the United States has mastered the core technology, but the raw materials are still imported from other countries. With global aluminum prices rising to a small peak in nearly seven years, China has seized the opportunity to expand its aluminum capacity extensively, pushing aluminum production in the second quarter to its highest level in a year.
According to the statistics of Chinese authorities, the export volume of aluminum in the first half of this year reached 2.71 million tons, an increase of 13% compared with the same period in 2017. The export volume in June alone reached 510,000 tons, becoming the highest export volume in nearly four years.
This phenomenon is only temporary, the recent aluminum prices are high, the trade war may not ease in the short term, if the trade dispute upgrade again, will have a significant impact on the global aluminum prices, but China's aluminum inventory to support the needs of the global aluminum market, China aluminum exports to the world will continue to expand.