Market Outlook and Operational Insights
ALUMINA MARKET
III
SOUTH32
Higher bauxite costs are challenging margins at less efficient
refineries, with ~50% of global supply currently loss-making
Inducement cost projects expected to be built outside of China due
to declining bauxite self-sufficiency and environmental policy
Alumina cost curve (CY22 and CY23e)(a)
(US$/t)
600
500
400
300
200
100
Spot price US$345/t(b) with ~50%
of global supply loss-making
Chinese domestic alumina production
(Mt)
80
CY22 cost curve
China - domestic bauxite
Middle East & Africa
China - imported bauxite
Americas
■Europe
Other
60
60
Sources: Alumina cost curve (CRU). Chinese domestic alumina production (CRU).
Notes:
a.
b.
Illustrates business costs which represent cash costs net of premiums (normalised to FOB Australia price).
Spot price as of 21 August 2023.
40
40
20
20
Imported
bauxite
༔ ༔ ༔ ༔ ༔ རྞྞ རྞྞ ༔ ༔ རྞྞ ༔ སྦྱི
Henan & Shanxi - Domestic Bauxite
Henan & Shanxi - Imported Bauxite
Shandong - Imported Bauxite
■Southwest China - Domestic Bauxite
■Southwest China - Imported Bauxite
Inner Mongolia - Imported Bauxite
Domestic
bauxiteView entire presentation