On March 5th, the Department of Raw Materials Industry of the Ministry of Industry and Information Technology released the operation of China's aluminum industry in 2018. In 2018, China's aluminum industry deepened the supply-side structural reform, strictly controlled the new capacity of electrolytic aluminum, promoted the replacement of electrolytic aluminum capacity, and the overall operation of the industry was stable, but the impact of trade friction gradually appeared, production costs continued to increase, industry benefits declined, and overall development The situation is not optimistic.
First, the output increased year-on-year, and the growth rate of aluminum materials declined. In 2018, the output of alumina, electrolytic aluminum and aluminum was 72.53 million tons, 35.8 million tons and 45.54 million tons, up 9.9%, 7.4% and 2.6% respectively. Among them, considering the adjustment of statistical data, the output growth of electrolytic aluminum was higher than that of the same period of last year. Increase by 5 percentage points; due to the impact of trade friction and domestic consumption sluggish, aluminum production growth rate fell by 7 percentage points year on year.
Second, prices have fallen, costs have risen, and benefits have fallen significantly. In 2018, the average spot price of domestic electrolytic aluminum was 14,262 yuan/ton, down 1.8% year-on-year. Due to environmental protection, bauxite prices continued to rise, coal prices rose, and enterprises reduced energy conservation and emission reduction costs. The comprehensive production cost of electrolytic aluminum increased significantly year-on-year. . In 2018, the aluminum industry realized a profit of 37.2 billion yuan, a year-on-year decrease of 40%. Among them, aluminum mining and mining achieved a profit of 700 million yuan, an increase of 19.6%; aluminum smelting, aluminum processing industry realized profits of 11.2 billion yuan, 25.4 billion yuan, down 54.6%, 31.4%.
Third, the capacity replacement has been accelerated and the industrial structure has been further optimized. Since the publication of the Notice on the Implementation of Capacity Replacement by Electrolytic Aluminum Enterprises by Merger and Reorganization, etc. (the Ministry of Industry and Information Technology  No. 12) has been issued, more than 4 million tons of electrolytic aluminum capacity has been completed, inter-provincial replacement, of which more than 3 million The production capacity per ton was transferred to energy-rich areas such as Inner Mongolia and Yunnan. While maintaining the high pressure of electrolytic aluminum production capacity, the industrial structure of electrolytic aluminum was continuously optimized.
Fourth, aluminum exports have grown substantially, and the international trade environment is not optimistic. Affected by fluctuations in the price of aluminum at home and abroad, and the depreciation of the RMB exchange rate, China's aluminum exports in 518 were 5.23 million tons, up 23.4% year-on-year. Brazil's Hydro Alumina plant has been shut down, resulting in a shortage of overseas alumina supply. China's annual net export of alumina is 950,000 tons. The overseas bauxite resources development projects such as Chinalco Group and Weiqiao Venture Group continued to advance. The chain reaction of trade frictions in the United States, the European Union, Mexico, and Vietnam is prominent, and the external development environment is becoming increasingly severe. The future export of aluminum products will face a severe situation.
In 2019, the domestic and international environment became increasingly complex, and the deep-seated impact of trade friction was about to emerge. The downstream consumption situation was not optimistic, and the downward pressure on the aluminum industry remained large. The Ministry of Industry and Information Technology will continue to deepen the supply-side structural reforms, continue to cooperate with relevant parties to maintain a high-pressure situation of strict control of new capacity of electrolytic aluminum, strictly implement the electrolytic aluminum capacity replacement policy, and study and establish a market-based legalization method to resolve production capacity. The long-term surplus mechanism actively expands the application of aluminum and guides the high-quality development of the aluminum industry.