Aluminum Oxide Price Continues to Rise

Recently, aluminum oxide price continues to rise, resulting from insufficient supply and an increasing demand for electrolytic aluminum's new capacity. During the period, the factory price of aluminum oxide in Shanxi Province and Henan Province this week is 3,000 Yuan per ton at the highest, which is 100 Yuan per ton higher than that of the last week, and an increase of 25% compared with the price in July.

On Sept. 25, the aluminum oxide factory price in southwest areas was more than 2,600 Yuan per ton, which increased 16.7% compared with that price in the beginning of July. Local aluminum oxide factories revealed that they might continue to increase the price due to the good momentum of market demand.

Influenced by the continuous rainfall in Henan Province this month, some companies have suffered local dam break, which has forced them to halt aluminum oxide production lines. According to research, a big aluminum oxide manufacturer in Shanxi Province had their roaster checked from Sept. 7 to Sept. 27, which has reduced the aluminum oxide production by 40,000 tons. What's more, an accident occurred to another aluminum oxide factory in Shanxi Province, so its aluminum oxide production is at a risk of reduction.

The numerous accidents in relation to the supply of aluminum oxide have lead to the insufficient supply of China's domestic aluminum oxide. While the new electrolytic aluminum's new capacity in northwest China stock has lead to the increasing imbalance between supply and demand, which is conductive to the situation that aluminum oxide price be separated from the aluminum price.

Author: Liwei Chu 
Copyright: iAbrasive.com--Abrasives & Diamond Tools Market