The deepening reform plan of Southern Power Grid from 2026 to 2029 has been officially implemented, covering 123 specific reform tasks, anchoring the direction of new power system construction, and gradually demonstrating the driving effect of power grid investment on aluminum consumption.
The integration of new energy into the grid and the upgrading of power distribution have increased the demand for aluminum, and the expectation of structural strengthening of aluminum consumption has received policy support.
The construction of energy storage and charging stations is synchronously expanding the use of aluminum, and the automation transformation of distribution networks is bringing incremental demand for wires. The proportion of aluminum used in power electronics is steadily increasing in total consumption.
The new power system prolongs the aluminum demand boom cycle, the annual scale of power grid investment maintains a growth trend, and the transformation of the distribution side drives the use of aluminum for medium and low voltage conductors. The expansion of new energy storage brings incremental demand for aluminum shells, and the construction of ultra-high voltage channels continues to use aluminum intensity. The driving force of electricity investment on aluminum consumption is sustainable.
According to CCMN platform’s report on August 12th, galvanizing and infrastructure orders were issued simultaneously, and the pace of downstream replenishment has accelerated. The trend of lightweighting in new energy vehicles continues to increase the amount of aluminum used per vehicle, and the demand for aluminum for photovoltaic frames and energy storage shells continues to grow. The marginal improvement of terminal orders has driven the recovery of spot transactions, and the acceleration of electricity investment has directly supported aluminum consumption. Galvanizing and infrastructure projects can improve spot liquidity by opening orders together. The conversion of aluminum premium to positive indicates downstream stocking enthusiasm, and the increase in holdings reflects the overestimation of demand expectations by funds.
The use of aluminum in the infrastructure sector is concentrated in the wire and fittings links. The acceleration of power investment directly drives the demand for aluminum poles and wires. The lightweighting of new energy vehicles is driving the expansion of demand for aluminum alloy sheets. The growth of photovoltaic installed capacity drives the consumption of frame aluminum profiles. According to CCMN platform’s report on August 12th, the operating rate of downstream processing enterprises has steadily increased, and aluminum consumption has shifted from traditional construction to the new energy sector.
The structural highlights on the demand side have offset some of the pressure of loose supply. The spot premium repair reflects the market’s optimistic judgment on subsequent consumption. The construction of ultra-high voltage and distribution networks continues to increase the use of aluminum, and the replacement of lightweight materials is accelerating its penetration in the transportation sector. The structural switching of terminal consumption improves the operation center of aluminum prices.
The resilience of demand has become an important support factor for prices, and aluminum for new energy vehicles has been upgraded from castings to plates. The high increase in photovoltaic installed capacity supports the consumption of frame profiles, and the optimization of demand structure offsets the pressure of loose supply. The dual wheel drive of policies and industries has shifted the consumption center upward, and the use of aluminum in power grid construction has strong rigidity.T
he continuous driving force of new energy consumption on aluminum, coupled with the trend towards lightweighting, has lifted the long-term aluminum consumption center. The upgrading of demand structure improves industry supply and demand, policy dividends translate into actual order increments, aluminum consumption resilience supports price centers, distribution investment rhythm supports wire demand, energy storage capacity expansion drives shell aluminum use, terminal order improvement verifies demand expectations, and structural highlights offset supply easing pressure.
Post time: Aug-13-2026