The latest aluminium inventory data released by the London Metal Exchange (LME) and the Shanghai Futures Exchange both show a sustained decline in global aluminium inventories.

Aluminum inventories rose to their highest level in more than two years on May 23 last year, according to LME data, but then started on the downside. As of the latest figures, London aluminium inventories had fallen to a new low in nearly eight months, at just 630,150 tonnes.

Meanwhile, Shanghai aluminum inventories continued to decline in the week of January 3, with the weekly inventory falling 3.95 percent to 193,239 tons, a new low in nine and a half months. The data further confirms the tight supply situation in the domestic aluminum market.

As an important industrial raw material, the inventory change of aluminum market not only reflects the supply and demand situation of the market, but also has a profound impact on the aluminum price and the whole industrial chain.