China produced 2.71 million tons of aluminum in December 2017, up 15.3 percent from 2.35 million tons in November and down 1.8 percent from the same period last year, according to the official data released by NBSC on Jan. 18. For the full year, the output totaled 32.27 million tons, a rise of 1.6 percent from 2016.

Taking into account the difference in actual production days between months, the average daily output in December reached 87,420 tons, an increase of 11.6% over November, reversing five months of declines. The increase was mainly contributed by a few new projects in Inner Mongolia and Guangxi. As the legalized capacity and the capacity with special approval in Guangxi and Yunnan are coming on line, the average daily production is expected to continue to climb in the next few months. If the aluminum prices maintain the current level or rise, there will also be an economic incentive for some smelters in Henan, Shanxi, and Shandong to restart the shuttered capacity after March.

 

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