ADC12 Aluminum Alloy Prices Slip on Weak Demand
Cast aluminum alloy spot prices fell 100 yuan per metric ton on Monday as end-use orders stayed subdued.
Updated on Nov. 3, 2026 in Current Conditions
ADC12 cast aluminum alloy prices declined 100 yuan per metric ton on Monday amid weak demand. The pullback followed a daytime retreat in aluminum prices and futures, while ex-China import offers held steady at $3,050-3,090 per metric ton.
Why it matters
Lower spot quotes for cast aluminum alloy reflect sluggish downstream purchasing after the start of November. Ex-China import parity moving into profitable territory may open a window for overseas supply to compete in the market.
SMM registered cast aluminum alloy warrants stood at 19,861 mt on Nov 2, down 512 mt from the prior session, while the SMM A00 aluminum price closed at 23,520 yuan/mt, down 260 yuan/mt. Whether the inventory drawdown will continue, and at what pace, remains unclear from the available data.
The details
Some enterprises lowered their quotes in line with the market after aluminum prices and futures pulled back during the day. Tight supply of compliant invoiced aluminum scrap is unlikely to ease in the short term, and end-use orders remained mediocre after entering November.
Timeline
Nov 2: Warrant, basis, silicon and scrap price data recorded.
Monday: ADC12 prices generally fell 100 yuan/mt.
Month-end: Seasonal silicon production cuts expected in southwest China.
Current Conditions
The ADC12 spot premium of 1,755 yuan/mt over the AD2701 futures contract on Nov 2 shows the physical cast aluminum alloy market still trading at a sizable markup to futures. This points to tight compliant scrap supply feeding spot pricing rather than a broad futures-led move.
Buyers of cast aluminum alloy should watch registered warrant levels and the spread to AD2701 futures before committing to new orders. Shifts in these indicators can signal when spot quotes may firm or soften further.
The takeaway
Spot cast aluminum alloy prices tend to follow inventory and order trends more closely than futures in tight scrap markets. Monitoring warrant counts alongside end-use order flow gives a clearer read on near-term price direction.
Further reading
Track more daily movements in the Current Conditions section for context on how short-term price shifts unfold.
Source note: This article includes information reported by Metal.
