China's non-ferrous metal production is projected to grow in 2017

Production of major non-ferrous metals such as copper, aluminum, lead and zinc is expected to grow 4.8% year-on-year in China in 2017, equivalent to 55.37 million tonnes, according to a report issued by the Ministry of Industry and Information Technology. (MIIT).

MIIT said that for the non-ferrous metals sector, the reduction of excess capacity and the restructuring, optimization and concentration of metal producers in China will remain among the main challenges for this year.

However, aluminum can be one of the top targets among metals, as China's central government always puts aluminum alongside steel and coal when considering industries that have serious levels of overcapacity.

The production level is more or less in line with MIIT's predictions for an average annual increase in the apparent consumption of metals by 4.1% in the country during the 13th five-year period in the period 2016-2020, or 6% lower than in the period 2011-2015 (12- oh five-year plan).

Last year, China's production of ten major metals rose 2.5% year on year to 52.83 million tonnes, among which, primary aluminum rose 1.3% year on year to 31.87 million tonnes, zinc rose 2% to 6.27 million tons, lead increased by 5.7% year on year to 4.67 million tons, and refined copper production amounted to 8.44 million tons, up 6% year on year.

And by 2020, China's consumption of ten metals is expected to reach 68 million tons. In 2016-2020, China's demand for refined copper is expected to grow by 3.3%, aluminum to 5.2%, lead consumption by 0.6% and zinc by 1.7%.

Consumption of lithium and cobalt is expected to grow by 13.5% and 12.5%, respectively, during 2016-2020, as these new materials are essential for making batteries.