ALUFAIR Digital Platform
EN
ALUFAIR

News Center

Despite Russian aluminium stocks growing to 65%, total LME warrant inventories decline in July

Despite Russian aluminium stocks growing to 65%, total LME warrant inventories decline in July

The share of Russian aluminium stocks on the London Metal Exchange-approved warehouses continued to increase in July 2024, accounting for 65 per cent of the total stocks. In June, the share of stocks of Russian origin on the London Metal Exchange was 50 per cent after rising from 42 per cent in May.
However, it is to be noted that the total aluminium stocks on LME have been decreasing month-on-month. In July, the total stocks amounted to 359,250 tonnes, down by 22.99 per cent from 466,500 tonnes in June, whereas the stocks in May were at 590,975 tonnes.
Of the total stocks in July, Russian aluminium stocks on the LME warrant were 233,775 tonnes, up by 1,425 tonnes from 232,350 tonnes in June. The increasing proportion of Russian aluminium stocks in LME-approved warehouses results from the impactful sanctions imposed by Western countries on Russian aluminium.
Amid the increasing stocks of Russian aluminium, what is trimming the total LME aluminium stocks? The growing outflow of stocks of Indian and Australian origin is the primary and urgent reason behind the dwindling LME aluminium stocks.
The aluminium stocks of Indian origin on LME in July 2024 amounted to 119,575 tonnes, accounting for 33.28 per cent of the total LME aluminium stocks. The stocks of Indian origin decreased in July by 69,225 tonnes month-on-month. In June 2024, the stocks of Indian origin were at 188,800 tonnes, as against 293,325 tonnes in May.
Similarly, the aluminium stocks of Australian origin also decreased month-on-month in July, accounting for only 1 per cent of the total LME stocks versus 9.16 per cent in the previous month. From 42,750 tonnes in June, the stocks of Australian origin contracted to 3,400 tonnes at the end of July. The stocks in June contracted 5,350 tonnes from 48,100 tonnes.