According to calculations by Antaike, the weighted average full cost (including tax) of domestic alumina was 2870 yuan per ton, a decrease of 4 yuan per ton compared to the previous month and a decrease of 212 yuan per ton year-on-year. Meanwhile, the spot price center of alumina fell to 2869 yuan per ton, down 76 yuan or 2.6% month-on-month. The alumina industry was near the break-even point in November, with an average loss of 1 yuan per ton, representing a decline of 72 yuan per ton compared to the previous month. During this period, the operating capacity of domestic alumina reached 97.29 million tons per year, with an operating rate of 85.1%, up 1.1 percentage points month-on-month.
Regarding raw material prices, the costs of three major raw materials for alumina production showed mixed changes in November. Bauxite and caustic soda prices slightly decreased, while energy prices rose slightly, leading to a slight reduction in the overall production costs of alumina. Specifically, the price of domestically produced bauxite remained largely stable, though the price of imported bauxite declined slightly, resulting in a total mineral cost reduction of 24 yuan per ton for alumina producers. Due to sufficient supply in the liquid caustic soda market and the slight drop in liquid caustic soda prices driven by falling alumina prices, the cost of caustic soda used in alumina production decreased by 5 yuan per ton compared to the previous month. As northern regions entered the heating season in November, the price of steam coal increased due to winter demand and tight supply, raising the energy cost of alumina production by 26 yuan per ton.
Currently, 50% of the alumina production capacity in China is operating at a loss, with high-cost capacities losing more than 200 yuan per ton. Alumina enterprises are adopting various measures to comprehensively reduce and optimize production and operation costs. Given the downward trend in alumina prices without signs of reversal, the industry is expected to face broader losses and increased operational pressure.
