Aluminum prices tumbled in 2015, with SHFE aluminum index down to record low, which triggered capacity cuts. Nearly 30 smelters slashed a total aluminum capacity of 4.17 million tonnes, allowing aluminum stocks to decrease dramatically in 2016.
SMM statistics showed aluminum stocks in domestic five major markets reached 2016’s high at 928,000 tonnes in March, but tumbled to record low of 241,000 tonnes in early August, although inventories rebounded slightly for some time afterwards.