The domestic alumina spot market, while influenced by overseas transactions, is still fundamentally driven by domestic supply and demand dynamics (including the impact of imports and exports). In the earlier phase, the market saw a decline in spot liquidity due to a shift in sentiment, with an apparent increase in spot supply. This was more due to misjudgments in timing, operation, and execution rather than a fundamental change in supply-demand conditions. Although the supply-demand relationship has improved, a fundamental shift has not yet occurred. With the approach of the heating season and snowfall periods, frequent production controls, reductions, and maintenance shutdowns, along with low inventory levels, the production and supply safety risks for aluminum plants are increasing. As a result, the domestic alumina spot market has shown increasing resilience to downside risks in recent times.
