“In the first quarter of this year, the domestic aluminum processing industry, although the domestic electrolytic aluminum prices started to increase at the end of last year, has greatly increased production costs, but the entire industry’s operating efficiency has not been such that most of the previous experts predict a decline, on the contrary, In the same period last year, it increased by about 40%.†Pan Jiazhu, deputy chairman and secretary-general of the China Nonferrous Metals Industry Association, revealed the above “unexpected†information at the “Shanghai Aluminum Summit 2006 - Aluminum Industry and Market†recently. . The domestic electrolytic aluminum market that awakened from the sluggish state of the first three quarters of last year, especially after deciding to reduce the joint production by 10% from 23 electrolytic aluminum plants on December 1 last year, began to make efforts to catch up with commodities that lead by copper and oil. Super bull market." However, behind the hundred-year “super bull market†in which non-ferrous metals ushered in unlimited scenery, the upstream and downstream companies are suffering from inequality. The upstream mining enterprises and smelting enterprises are enjoying the feast of the “super bull marketâ€, while the downstream processing companies can only have a single table? The industry experts have broken their glasses. The price of non-ferrous metals has soared. The aluminum processing industry has also ushered in the spring. Xiao Jinsheng, executive vice president and secretary-general of the China Non-Ferrous Metals Processing Industry Association, reported at the above-mentioned summit that in 2005 China's aluminum processing capacity was 9.31 million tons, and actual output was nearly 5.84 million tons, second only to the United States, among which aluminum production. Has been ranked first in the world, and for the first time last year it became a net exporter of aluminum. Due to the rapid expansion of production capacity of aluminum processing materials, with the continuous improvement of technical equipment and product output, despite the current acceleration of aluminum prices, there has been no sign of a slowdown in the pace of development of China's aluminum processing industry. In fact, aluminum production increased by 36.4% year-on-year in the first quarter of this year, while the aluminum processing industry's profit was also 3 to 4 percentage points higher than the increase in output, and this was still faced with industry-wide losses last year. The aluminum smelting industry in the first quarter of this year realized a profit of 5.871 billion yuan on the basis of the realization. According to the estimates of Guo Jianjing, manager of Shenzhen Northern Investment Futures Information Department, the profits of domestic electrolytic aluminum smelters are as high as RMB 3000-000 per ton. As a result, Huang Zichao, general manager of Guangzhou Kaichao Investment Bank, made a speech at the above-mentioned summit. He declared that although the government last month revisited the term “electrolytic aluminum industry with apparently excessive production capacityâ€, the aluminum smelting industry recovered completely, and the aluminum processing industry Prosperity, especially large-scale electrolytic aluminum companies in China have basically started to engage in the downstream aluminum processing industry, all showing that the "spring has arrived" in the Chinese aluminum industry. However, many experts at the conference admitted that the current status of domestic aluminum processing industry is not only related to the strong demand for aluminum used in domestic construction (high-grade building materials) and transportation (such as energy-saving light cars), but also to the nation’s aluminum processing when the world economy is recovering strongly. The export of the timber is consistent with the 13% tax rebate rate. More crucially, the production of electrolytic aluminum continues to maintain the world's top China (this year's output is expected to reach 9 million tons this year), and its supply and demand for electrolytic aluminum basically maintains a slight balance of net exports. Relatively independent market prices ensure domestic The aluminum industry continued to develop under the stimulation of higher aluminum prices. In fact, although the strong demand for electrolytic aluminum in the downstream aluminum processing industry strongly supports aluminum prices, the domestic aluminum price has been more crazy than the rapid expansion of potential production capacity and the unpredictable national macro-control measures in the summer before the off-season aluminum consumption. The price of copper is more rational. Although last week, the previous year's electrolytic aluminum futures volume and total positions each set a new record of 355,000 contracts and 299,000 contracts in two years, but the aluminum inventory of the previous period also exceeded 180,000 tons again, indicating that there is currently an urgency in the futures market. Selling electrolytic aluminum plants is not optimistic about the further rise in aluminum prices. In recent days, domestic and foreign aluminum futures prices have also shown signs of downward adjustment.