China’s domestic aluminium billet inventory had heightened by RMB 22,700 tonnes or 21.45 percent W-o-W to stop at RMB 128,600 tonnes, as of May 5, 2022. Because of the pandemic's ongoing interruption of consumption, downstream purchasers have become increasingly cautious. However, when aluminium prices fall below RMB 20,000 tonnes, demand may increase. After stockpiles are digested, buyers will refill, easing inventory pressure.
The figure below provides further information on the current state of aluminium billet inventories in China: