The non-ferrous metals industry’s monthly prosperity index report was released in Octorber,2016, which was made up by the China nonferrous metals industry association, China academy of economic trends of the Economic Daily and China economic monitoring center of the National Bureau of statistics. The report showed that the prosperity index of non-ferrous metals industry was 27.6. Compared with last month, it increased by 2.2, rising to the upper edge of a “rather cold” area. The growth has expanded month by month since the third quarter, and the whole industry presents a positive trend.
At the same time, the ex-factory price has risen firstly since 2012. Because of this, the total profit of non-ferrous metals industry increase dramatically, and the profit rate gets a great improvement compared to the same period of last year. Meanwhile, there is a remarkable achievement in terms of scientific and technological innovation, transformation and upgrading and the green development. However, in addition to the influence of the rebound in price, sales status has not been improved obviously; the weakness in demand and the pressure of excess capacity are still high.
The overall recovery of the industry
In October, 2016, China Economy non-ferrous metals industry prosperity index increases 2.2 to 27.6 compared with last month, and the leading synthetic index is 82.5, rising by 1.9 compared with last month. “Since this year, both the leading synthetic index and the prosperity index are growing up, especially the prosperity index has soared in “cold area” and the industry presents a positive trend. “ The vice secretary-general of China non-ferrous industry Wang Huajun analyses it. And he estimates that the non-ferrous metals industry will show a stable recovery tendency in a short term.
According to the global economic environment, the global economy will remain a moderate growth in the fourth quarter in 2016; American economy has developed rapidly; European economy maintains the slow growth. Although it is still in the weak range in general, the recovery of emerging economies tends to pick up. In terms of domestic economy, the national economy runs smoothly, which is better than expectation. Commodity prices continue to rise and the supply and demand of the domestic market present positive changes. Moreover, RMB devaluation becomes the impetus for the export growth of the non-ferrous metals industry and also stimulates the export activities. The non-ferrous metals’ allied industries recover distinctly and the supply-demand relationship improved significantly. ( A Chinese aluminum profiles supplier, Shenghai Aluminum Co., Ltd translated)