“The stronger aluminium prices and demand in China are propping up the international price of alumina,” a trader said. “Plants are restarting and life is getting back to normal there, after the [Covid-19 pandemic] lockdown.”
A fresh deal was concluded for Western Australia-origin alumina at $267 per tonne cif main China ports, with a differential to the corresponding fob Australia price of $15 per tonne for freight.
The price was significantly higher than in the latest deal for Western Australian material, which was concluded on May 16 at $245 per tonne fob Australia. That cargo was also said to be destined for China.
“Deals have been taking us by surprise recently,” a consumer said. “Logically, we expected alumina prices to settle somewhere around $230 per tonne, but buyers in China always seem content to pay $5 or $10 [per tonne] higher than everyone else. But their demand is strong and...