The 2024 5th Central China International Aluminum Processing Industry Forum was grandly held in Sanmenxia, Henan, on December 11. The event gathered elite enterprises, experts, scholars, and professionals from the global aluminum processing sector to discuss the path to innovation and development within the industry.

　　Industry Overview

　　· Production and Exports:

　　In 2023, aluminum sheet and strip production experienced its first-ever decline, with processing fees hitting historic lows. Many enterprises are on the verge of losses. As the largest category of aluminum processed material exports, aluminum sheets and strips account for over 50% of the total volume. However, the cancellation of export tax rebates has intensified challenges in foreign trade.

　　· Market Demand:

　　Traditional aluminum consumption has plateaued, and new applications have yet to emerge significantly. While the aluminum supply chain remains secure and resilient, insufficient demand has led to operating rates for most companies falling to 60%-70%, marking a low point.

　　· Capacity Situation:

　　Production capacity continues to grow, intensifying competition within the industry. Existing aluminum sheet and strip projects have already exceeded demand, creating significant overcapacity.

　　Development Trends and Opportunities

　　· Technological Innovation and Intelligence:

　　Enterprises are accelerating the development of high-end and intelligent technologies, focusing on areas such as new material development, recycled aluminum usage, automation, and digitalization. Efforts are being made to enhance innovation in aluminum alloy materials and equipment control systems, aiming to establish globally leading intelligent factories.

　　· Green and Low-Carbon Development:

　　The industry is actively promoting the closed-loop recycling of recycled aluminum, increasing the proportion of recycled aluminum usage, encouraging the adoption of green electricity-powered aluminum, and shifting environmental efforts towards process control and source reduction. Additionally, the sector is improving the resource utilization of solid and hazardous waste.

　　· Market Expansion and Application Diversification:

　　By substituting aluminum for plastic, steel, copper, and wood, the industry is addressing the evolving needs of people's lives and exploring new consumer markets. Applications in fields like electronics, artificial intelligence, and robotics are being prioritized. Collaborating with downstream industries, companies aim to develop more refined and high-performance products, broadening the application scenarios for aluminum sheets and strips.

　　Challenges and Strategies

　　· International Trade Risks:

　　The industry must proactively address risks such as international political tensions, green trade barriers, trade disputes, and supply chain decoupling. Leveraging the combined efforts of governments, industry associations, enterprises, and international customers, the sector can adopt differentiated and specialized export strategies.

　　· Industry Self-Regulation and Competition:

　　Strict controls on new hot-rolling projects are necessary, alongside encouragement for mergers and acquisitions to optimize capacity scale and layout. Fostering a sense of shared destiny within the industry is critical to building trust and preventing cutthroat competition. Strengthening brand building and shifting from price-based competition to value-driven competition will ensure sustainable development.

　　This forum underscored the importance of unity, innovation, and resilience in navigating the evolving aluminum processing landscape, marking a significant milestone in the industry's path toward sustainable growth.