Sluggish demand from domestic aluminium smelters in China, along with the VAT cut from 16% to 13% on April 1, led to a further drop in alumina prices this week.
Fastmarkets' price assessment for Chinese free market Metallurgical grade alumina, delivered duty paid, was 2,680-2,700 yuan ($400-403) per tonne on Thursday March 21, down from 2,690-2,710 yuan per tonne a week ago. The price was down 22.7% from the peak of 3,250-3,350 yuan per tonne achieved in September when the declining quality of domestic bauxite and the fact that finding new high-grade supplies became apparent. Demand from aluminium smelters continued to be weak due to persistent ample inventory for the light...