The operating capacity in north China remained low due to high cost, tight supply of ore and gas, and winter cuts policy. In southwest China, the operating rates stood high due to relatively low costs and no impact of the winter cuts policy.
According to Mysteel's survey, some alumina restarts were seen in Guizhou, Chongqing and Guangxi. A refinery in Guizhou with a total installed capacity of 1 MTPA recovered to full capacity running in Feb. The producer had fully suspended production since mid-Nov last year for maintenance. A refinery in Guangxi also ramped up operating capacity in Feb after the maintenance ended. A producer in Chongqing with a total installed capacity of 3.6 MTPA cut operating capacity by 500 ktpa in Jan due to gas shortage. It has gradually recovered to full capacity in Feb.
In terms of new refining capacity, Hebei Wenfeng's alumina capacity has been ramped up to 3.6 MTPA after it put the third production line into operation in Jan and reached full capacity running in Feb. Guangxi Jinxin Chemical with total alumina capacity of 1 MPTA is expected to put its expansion project (1.2 MTPA) into operation in late Q1 or early Q2. Furthermore, Lubei, a major alumina producer in Shandong with 1 MTPA currently, is expected to commission its expansion project ( 1 MTPA ) in Q2.