To discuss the development trend of China's aluminum industry and the impact on the global aluminum market First discuss the development status of China's aluminum industry. In the past five years, China's aluminum industry has made considerable progress along with China's high-speed and healthy development. These developments are mainly reflected in the rapid growth in consumption of the first aluminum, and China has become the world's largest consumer of primary aluminum. In the past five years, the growth of China's primary aluminum consumption has been a bright spot in the global aluminum market. From 2001 to 2004, the increase in primary aluminum consumption in China accounted for almost half of the increase in global aluminum consumption over the same period. In 2005, the consumption of primary aluminum in China had reached 6.98 million tons, which means that in this year, China’s primary aluminum consumed the United States and became the world’s largest primary aluminum producer. Moreover, the per capita consumption of primary aluminum in China rose from 2.7 kilograms per capita to 5.5 kilograms per capita. Almost doubled. The growth rate of such an aluminum consumption far exceeds the world average world. Second, China's primary aluminum output has risen rapidly. China has become the world's largest primary aluminum producer for five consecutive years. In 2001, the output of China's primary aluminum reached the number one in the world for the first time. In the following years, the output of China's primary aluminum has increased at an annual rate of 1 million tons. The average annual growth rate has reached 23%. Last year, China's primary aluminum production reached 78.10 million tons, accounting for 24.4% of the total global primary aluminum. Third, the rapid development of China's aluminum processing industry, China has become the world's largest producer of aluminum processed products. In recent years, China's aluminum processing industry has entered a new stage of development and is evolving with an unprecedented scale and speed. A more complete aluminum processing system has been formed. It can produce high-quality aluminum sheet with platinum, as well as high-rise aluminum alloy production materials. In particular, in recent years, China has successively established a number of aluminum foil, aluminum sheet and aluminum strip production enterprises. By the end of 2005, China's processing enterprises had reached 1,400 in terms of quantity, and their total aluminum processing capacity reached 8.5 million tons. Last year, the actual output of aluminum processing materials was 6 million tons. Therefore, China has also become the world's largest in aluminum processing capacity and production. The fourth is that China's alumina gap continues to increase. China has not only become the world's second largest alumina producer, but also has become the largest alumina importer in the world. China is a country rich in bauxite resources. In particular, the rapid development of China's electrolytic aluminum industry has led to a sustained and rapid increase in demand for alumina. China's alumina production has increased at an average annual rate of 14.18% since 2001. Even though the demand gap for alumina in China is still large, it can be seen from this that China imported 1.8 million tons of alumina in 2000, but by 2005 China’s import of alumina has reached 7 million tons, especially in the world. On the aluminum market, China's spot imports have accounted for 70% of international trade volume. Regarding the features mentioned above, everyone will feel that it is an increase in quantity. In other words, in the past five years, whether it is the rapid development of aluminum oxide, electrolytic aluminum, or aluminum processing, China has ranked before the world. However, seeking truth from facts, China is still just a big country in the aluminum industry, not a strong country. From quantitative changes, we have seen that China's aluminum industry has also seen improvements in protons in the past five years as well as good improvements. China's aluminum industry has embarked on a sustainable development path of resource conservation, environmental cleanliness, and recycling. Mainly manifested in technological upgrading, energy saving, and harmonious development with prosperity. Below I would like to discuss the second part is the development trend of China's aluminum industry. The Chinese government attaches great importance to the development of the aluminum industry. On September 7, 2005, the Standing Committee of the State Council discussed and approved in principle the special report on the development of the aluminum industry and the industrial policy of the aluminum industry, proposed the guiding ideology for the development of the aluminum industry, and emphasized the acceleration of industrial restructuring. , vigorously develop the recycling economy, make full use of domestic and foreign resources, and establish a stable aluminum industry resource supply security system. I believe that the Chinese government's development policies for the aluminum industry can be well implemented. The future development of the aluminum industry and even the aluminum market will be more benign and healthier. Mainly in the continuous expansion of the application of aluminum, we all know that aluminum is a weight loss, energy saving, environmental protection and recycling of green materials. Aluminum's light weight and excellent reproducibility are of great significance for a sustainable society. The second is that China’s aluminum consumption will continue to grow. This year shows that when a country is in the middle of industrialization, the consumption of basic materials and energy, including aluminum, has entered an accelerated period. The growth rate is higher than the GDP growth of this country. China's data has shown that the growth rate of aluminum consumption in China in the past four years is 1.63 times that of GDP. From the viewpoint of the growth of the national economy in the previous five years, it is expected that the growth rate of consumption will be maintained at around 14% in the next five years, and by the time of projection, by 2010, the aluminum consumption in China will reach 13.5 million tons. By that time, China's primary aluminum production and consumption of primary aluminum can basically reach equilibrium. Another trend is the highlight of the circular economy of aluminum. The third part would like to discuss with you the impact of the development of China Aluminum Industry on the global aluminum market. The first is that the Chinese aluminum industry is an indispensable part of the world aluminum industry. The China Aluminum Industry has not only achieved early interaction with the world aluminum industry, but also maintained its first place in the world in terms of primary aluminum production for five consecutive years in 2001. In 2005, China’s primary aluminum output accounted for 24.47% of the world’s primary aluminum production. The consumption of primary aluminum is also ranked first in the world for the first time. In 2004, China’s alumina production also exceeded 7 million tons, ranking second in the world. By 2005, the production of alumina will increase by a large margin to 8.5 million tons, accounting for 14% of the world's total alumina production capacity. Statistics show that among the original aluminum increments in 2005, two-thirds came from China. The world aluminum industry is incomplete if it lacks China. Second, the Chinese aluminum market is the most promising and dynamic market in the world. The sustained and rapid growth of the Chinese economy has led to the rapid growth of the consumption of metal materials including aluminum, which has injected a strong vitality and impetus for the rapid development of the aluminum industry. In the global aluminum market chain, the Chinese market is the market with the greatest potential. In particular, the acceleration of urbanization and industrialization in China, the increase in investment in basic industries such as electricity, transportation, and construction, as well as the rapid development of industries such as automobile manufacturing, have created a huge potential and vitality for this market in China. The third is the continuous expansion of China's aluminum industry international cooperation space. Due to the rapid growth of China's economy and the continuous growth of aluminum demand driven by it, China's aluminum industry has great room for development, be it production or consumption. Our per capita consumption of aluminum has only reached the world average. Like the developed countries (the United States, Japan), their per capita aluminum consumption has reached about 30 kilograms. This has caused the Chinese market to attract international attention, especially the international aluminum and mining companies. This has led to the continuous expansion of China's aluminum industry in the international cooperation field. In recent years, Alcoa, Alcan and some other countries have established aluminum joint ventures in China. We expect that the increase in quantity and quality of China will also attract more overseas investors and traders to enter the aluminum market in China. Fourth, Chinese aluminum companies have stepped out of the country and alumina supply has become a key factor for power companies. On January 7, 2006, the National Development and Reform Commission jointly issued a notification of the need to make overall plans for the development and utilization of large-scale alumina resources in foreign countries, and proposed the development of aluminum in our country through cross-border mergers and acquisitions, equity participation, listing, and reorganization of aluminum. enterprise. In fact, in recent years, many companies in China have come out of the door. For example, China Aluminum Corporation has invested in the establishment of bauxite mines or alumina plants in countries such as Brazil, Vietnam, and Australia. We invest $1 billion in Brazil to build an alumina plant with an annual output of 1.8 million tons. The resources are used in Brazil's bauxite mines. Like in March of this year, we obtained the right to develop the last bauxite mine in Australia. We plan to invest A$3 billion in Australian projects in the next few years to build a large bauxite ore mine to meet the alumina demand of Chinese electrolytic aluminum companies. Therefore, the development of China's aluminum industry has provided strong impetus for the development of the world aluminum industry, and China has brought more important opportunities for investors and businesses in the world aluminum industry.