EGA Restores 25% Capacity, Global Aluminum Supply Remains Tight
Why a 25% Restart Fails to Ease Supply Tightness
Long restart cycle: Restarting electrolytic cells is not a simple on-off switch. Ramping up from 25% to full production will take at least six months.
Persistent geopolitical risks: Volatility in the Strait of Hormuz and tense US-Iran relations leave transportation and energy supplies vulnerable to further disruptions at any time.
Downward supply revision: Even with the restart, analysts have slashed their 2026 overseas aluminum supply growth forecast by 2.01 million tonnes, reflecting muted expectations for global capacity expansion.
Overseas Uncertainty Lifts Value of Domestic Stable Supply
Price floor support: Slow recovery in overseas supply puts a floor under aluminum prices, which also keeps raw material costs elevated for processors.
Supply chain security: Companies that previously relied on imported alumina and aluminum ingots are increasingly prioritizing stable, controllable domestic raw material sources.
Why Qinghai Green Power Aluminum is the Reliable Supply Anchor
Large-scale capacity cluster: The Ganhe Industrial Park in Xining is home to Baihe Aluminum (700,000 tonnes), Huanghe Xinye Aluminum (600,000 tonnes), Chalco Qinghai Branch (500,000 tonnes) and Qiaotou Aluminum & Power (300,000 tonnes).
High green power share: Qinghai boasts abundant clean energy resources. Huanghe Xinye Aluminum sources over 75% of its power from renewables, resulting in a far lower carbon footprint than coal-powered aluminum production.
Official certification: In 2025, Ganhe Industrial Park and its resident enterprises were named among China’s first batch of “National Core Green Power Aluminum Production Bases/Enterprises”.
