Chinese major secondary alloyed aluminium maker, Ye Chiu Group increases the Chinese production base, Ye Chiu Metal Recycling (China) to monthly 20,000 tonnes in June, which is 2,000 tonnes higher than previous level. The Chinese plant plans to produce 20,000 tonnes in July and keeps full capacity operation to serve strong domestic demand and export especially for Japan.
The official said to a reporter of Japan Metal Bulletin during telephone interview on Thursday the Chinese plant completed the expansion of 2 furnaces in early May and started the production increase in June. The official expects Chinese alloy demand will keep strong with high level automobile sales while Chinese government tries to cool down heated economy through tightening of finance. The official said most of Chinese die-casting makers keep full capacity operation and the makers will return the high level production after summer time slowdown by 10-20% from July. The group’s Malaysian plant, Ye Chiu Metal Smelting keeps full capacity operation at 7,800 tonnes per month when the demand is strong for small car and motorcycle. The group still negotiates with local government on natural gas supply for planned new plant in Malaysia. The official said aluminium scrap supply is still tight. The official expects AD12.1 grade alloy market price could rebound with pressure by higher raw materials cost.Japan Steel Scrap Composite Prices (Sangyo Press)
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