Analysis on supply side reform of electrolytic aluminum industry in China in 2017

- Nov 01, 2017-

First, what are the characteristics of aluminum industry?

The effect of coal and steel supply side reform obvious to people ", as" celebrated "excess aluminum industry, and" coal and steel "both with a difference, with high energy consumption, high pollution, heavy capital, negative external effects of environmental and financial aspects of the obvious. The difference is that aluminum demand growth, industry competition seems to be better than the former. We believe that the current high energy consumption and low added value and disorderly expansion of the industry determines the necessity of the aluminum supply side reforms, but the special attribute has decided to return to the market competition or destination aluminum supply side reform finally, but before must implement the "three", namely the capacity for compliance, internalization of external cost, equal competition.


1) high energy consumption production and low added value

Aluminum is a "worthy of the name" electric tiger, one ton AC power consumption reached 13500 degrees, according to the 2016 production of 32 million 500 thousand tons, the annual power consumption of 438 billion 800 million degrees, compared to the national total electricity consumption 5 trillion and 920 billion degrees, electrolytic aluminum power consumption accounts for the whole society electricity demand 7.4%. At present, China's power generation is still dominated by thermal power, although some enterprises in recent years to promote the transformation of desulfurization out of stock, but the overall negative impact on the environment is still difficult to completely offset. In addition, prebaked anode aluminum electrolysis is a necessary material as the raw materials of petroleum coke and coal tar are high pollutants, and the production will produce solid waste emissions, prebaked anode materials such as the end of pollution can not be underestimated.

The export of aluminum is large, but the added value is low. China's export of raw aluminum to impose a tariff of 15%, the import of electrolytic aluminum will increase the value-added tax of 17%, tax barriers make the import and export of the original aluminum link is not much. But for aluminum processing products, not only the export tax is not levied, but also a certain range of export tax rebate concessions. Therefore, in the country under the low cost raw aluminum metal and tariff system constraints, some enterprises are slightly processing of primary aluminum, outside the unwrought aluminum aluminum products export, export is essentially a low value-added aluminum. The main reason is that there is still a gap between China's aluminum industry and the international advanced level, and the core key technology is still to be broken. The difference between the import and export price of aluminum products can also be seen.

The continuing rise in the price of prebaked anode is the highlight of supply tension, and environmental sustained pressure, shortage of calcined coke and coal tar pitch as raw material and after the heating season production will make the supply situation worse. According to the data, the current national anode carbon

Trimethyl   Phosphate
Extractant TMP
Triethyl   Phosphate
Plasticizer   TEP
Tricresyl Phosphate
Retardant TCP
Cresyl Diphenyl Phosphate
Retardant CDP
Triphenyl Phosphate
Retardant TPP