CITIC Dicastal to Launch 2027 Aluminum Ingot Bidding
The aluminum wheel maker plans an online Dutch auction for 99.8 aluminum ingots through the SMM Trading Center's platform in November 2026.
Updated on Nov. 4, 2026 in Buying/Selling
CITIC Dicastal Co., Ltd. is expected to launch online bidding in November 2026 for its 2027 annual aluminum ingot long-term contracts with SMM Trading Center. Successful bidders will sign an annual framework agreement with a monthly performance volume of 500 mt.
Why it matters
The procurement is designed to lock in annual raw material supply and hedge against operational risks from aluminum price swings. It follows a prior online spot bidding of 300 mt that the two parties completed and delivered.
The 2027 contract covers 99.8 grade aluminum ingots at a monthly volume of 500 mt, roughly 1.7 times the 300 mt spot cargo handled in the prior online round. Results and final contract volumes will be determined once the November 2026 bidding concludes.
The players
CITIC Dicastal Co., Ltd.
An aluminum wheel manufacturer established in 1988 with investment from China CITIC Group, which has ranked first globally in aluminum wheel sales for 17 consecutive years.
SMM Trading Center
A metals trading and information platform that hosts the Anhuida bidding platform used for the procurement.
The details
Procurement will use Dutch bidding on the Anhuida bidding platform run by the SMM Trading Center, which provides open bidding and secure transaction guarantees. CITIC Dicastal, an aluminum wheel manufacturer founded in 1988 with investment from China CITIC Group, is the world's largest supplier of aluminum wheels and aluminum chassis parts.
Timeline
Previously: online spot cargo bidding of 300 mt was completed and delivered.
November 2026: expected launch of the 2027 long-term contract online bidding.
2027: monthly performance under the annual framework agreement.
Roadmap
The move reflects automakers and parts suppliers in mainland China increasingly using platform-based, competitive bidding to manage raw material costs across multi-year cycles. It positions CITIC Dicastal, the first aluminum wheel maker in the country, to secure supply ahead of 2027 as aluminum price volatility continues to affect the global auto parts sector.
For automotive buyers, supplier contracts like this help stabilize the cost of aluminum parts that feed into vehicle production over time. Steady raw material pricing can influence how manufacturers price their vehicles and parts in the years ahead.
The takeaway
Long-term supplier agreements can give automakers and parts makers more predictable costs when raw material prices are volatile. Watching how these contracts are structured offers insight into how manufacturing costs may flow through to vehicle prices.
What happens next
CITIC Dicastal is expected to launch the 2027 annual aluminum ingot long-term contract online bidding in November 2026.
Further reading
Explore more on Buying/Selling to see how automotive supply deals and sourcing decisions shape the market.
Source note: This article includes information reported by Metal.
