China's aluminum cable price stability leads the world, and its export advantages are further upgraded under tariff barriers

China's aluminum cable price stability leads the world, and its export advantages are further upgraded under tariff barriers

——Analysis of the risk resistance of the entire industry chain from raw materials to finished products

April 15, 2025

The US policy of imposing tariffs on aluminum products has exacerbated international market concerns about the cable supply chain. However, as the core production base of aluminum cables in the world, Chinese companies continue to provide global customers with aluminum cable products with stable prices and reliable delivery by relying on a 100% self-controlled aluminum industry chain and a mature price fluctuation hedging mechanism. This article will deeply analyze the core competitiveness of China's aluminum cables.

一、Independent supply of raw materials: aluminum cable costs are "decoupled from tariffs"

1. From mines to cables: zero import dependence in the entire chain

China's bauxite reserves exceed 1 billion tons, and its alumina and electrolytic aluminum production capacity are completely self-sufficient. The entire production process of aluminum cable companies from raw materials to finished products is not affected by international logistics, geopolitics or tariff policies. Compared with European and American companies (the United States relies on 75% of bauxite imports), the risk of raw material cost fluctuations in China's aluminum cables is reduced by more than 60%.

2. Large-scale production compresses cable costs

In 2024, the scale of centralized procurement of electrolytic aluminum in China's aluminum cable industry will exceed 12 million tons. Leading companies will lock in aluminum ingot prices through long-term agreements, and the unit cable aluminum cost will be 12%-18% lower than that of international peers.

二、China: An important hub for global aluminum production

China has long been recognized as an important player in the global aluminum market. With its huge production capacity and a well-developed supply chain system, China is able to ensure a stable supply of aluminum and competitive prices. This allows us to supply the aluminum raw materials needed for cable production at prices that are not significantly affected by tariff adjustments. Although many markets face cost pressures due to tariff fluctuations, the advantage we pass on directly to our customers is that aluminum materials are stable and competitive.

三、Tariff impact: the logic behind price changes

Recently, adjustments to tariff policies have caused uncertainty in many industries. In many cases, tariffs will lead to higher raw material costs, which in turn drive up prices for end products. Fortunately, our strategic position in the aluminum industry chain ensures cost consistency. While other areas are affected by tariffs and prices fluctuate, the price of aluminum in the Chinese market has remained basically stable, which allows us to control production costs and continue to provide the market with competitive prices.

四、Take action now to lock in price advantages

We believe that the current market environment provides customers with a good opportunity to lock in prices in a timely manner. Locking in aluminum cable prices now can effectively protect your supply chain from the impact of future global tariff policy changes. The sooner you act, the more you will enjoy our competitive prices and protect your profit margins when market volatility increases.

Why choose to work with us?

Global leading raw material supply: As a major aluminum producer in the world, China has a significant price advantage in aluminum procurement, which gives us a clear advantage in the competition.

Stable pricing strategy: With an efficient supply chain and rich market experience, we are able to provide stable and competitive prices without being affected by tariffs.

Commitment to excellent quality: We are always committed to ensuring that our customers enjoy the highest quality products. The cables we provide are not only reliable in performance, but also of international leading quality standards.

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