As an aluminum industry practitioner, we must deeply study and implement General Secretary Xi Jinping's thought on socialism with Chinese characteristics for a new era, and think about how to take development as the foundation and key to solving all problems in our country's aluminum industry. We must comprehensively analyze the current situation and tasks, opportunities and challenges in combination with the actual situation of the industry and our own enterprises. While enhancing self-confidence, we must also see the imbalance and insufficiency of the industry in development. In our work, we must implement the new development concept, accelerate the completion of shortcomings, promote transformation and upgrading, deepen supply-side structural reform, adapt to the requirements of the new era with a new look and attitude, and make due industry contributions, corporate contributions and personal contributions for the country to enter the new era. Be qualified corporate citizens and industry citizens.

We must face up to China's aluminum industry

　The main contradictions facing the new era

　In the report of the 19th National Congress of the Communist Party of China, General Secretary Xi Jinping pointed out that socialism with Chinese characteristics has entered a new era, and the main contradiction in our country's society has been transformed into the contradiction between the people's growing needs for a better life and unbalanced and insufficient development. The main contradiction in the aluminum industry is the contradiction between the huge industrial scale and unbalanced and insufficient development, and the development faces new constraints and risks. The current contradictions in the aluminum industry are summarized as 9 imbalances and 6 inadequacies.

中国铝工业面临的不平衡：

　1. The imbalance between excessive capacity growth and declining consumption growth.

　2. The imbalance between the implementation of the central government's new development concept, decrees and policies.

　3. The imbalance between extensive production methods and intensive, clean, refined, and intelligent development requirements.

　4. The imbalance between capacity expansion, industrial agglomeration, resource and environmental carrying capacity, and environmental and ecological requirements.

　5. The imbalance between industrial scale and profitability.

　6. The imbalance between the scale of industrial assets and liabilities.

　7. The irrationality and imbalance of the industrial energy structure, distribution structure, product structure, and export structure.

　8. The imbalance between the positive image of aluminum materials and the sustainability of the aluminum industry and the current negative phenomena in the industry and the negative social impact.

　9. The aluminum industry practitioners' pursuit of a better aluminum industry and a sense of well-being, gain, and security is unbalanced with the inefficient operation state caused by excessive competition and industry chaos.

中国铝工业面临的不充分：

　1. The fair competition of marketization and legalization is not sufficient, the business environment is not perfect, and good money has not been able to drive out bad money.

　2. The investment in scientific and technological innovation and the transformation of achievements are insufficient, and significant progress is urgently needed in energy conservation, environmental protection, new materials, and intelligent manufacturing.

　3. The integration and coordination of overseas resource development and international operations are not sufficient, and there is no synergy.

　4. Insufficient flow of production factors, inadequate development of industrial integration, and inadequate development of industry mergers and acquisitions and collectivization.

　5. Insufficient focus on implementing the concept of green development and focusing on sustainable development.

　6. Insufficient corporate self-discipline, industry citizenship, and maintenance of industry order. Lack of self-discipline and concerted action on issues related to the healthy development of the industry and the order of fair competition.

全面客观分析中国铝工业

　Develop a new environment and establish a new development concept

　The production and sales of aluminum have entered the medium and low growth stage from high-speed growth

　General Secretary Xi Jinping pointed out that our country's economy has shifted from a stage of high-speed growth to a stage of high-quality development, and is in the critical period of transforming the development mode, optimizing the economic structure, and transforming the growth momentum. Building a modern economic system is an urgent requirement for crossing the threshold and a strategic goal for our country's development.

　Combined with the reality of the aluminum industry and the aluminum market, this change in speed and momentum can be felt even more. In the past two or three years, the growth rate of China's aluminum production and sales has declined compared with the past. In 2017, the growth rate of aluminum production and domestic actual consumption is expected to be less than 5%. This reflects that the golden decade of aluminum consumption driven by infrastructure and real estate investment has passed. Coupled with more trade barriers facing aluminum exports, aluminum production and sales have entered a medium-to-low growth stage from high-speed growth. This will be the development trend in the next 3 to 5 years or even longer.

　In fact, in the past two or three years, the growth rate of domestic primary aluminum consumption has been maintained at 8% to 11%. There are a variety of special factors superimposed, which just support the trend of aluminum consumption decline. But these factors are special phenomena in a specific period, some have been eliminated, and some are unsustainable. Although there are new bright spots and new momentum in market applications, which have partially compensated for the decline in demand in construction, real estate and other industries, the overall market growth rate is difficult to continue.

　Therefore, industry professionals should have a clear understanding of the future forecast should be more pragmatic, to transform the development mode and growth momentum, change the original expansion-based inertial thinking, from the project to expand capacity to shift the focus on quality and efficiency.

铝工业要加快“三去一降一补”，实现增长方式的四个转变

　In the report of the 19th National Congress of the Communist Party of China, General Secretary Xi Jinping continued to emphasize the need to deepen supply-side structural reform. Persist in reducing production capacity, destocking, deleveraging, reducing costs, making up for shortcomings, optimizing the allocation of stock resources, expanding high-quality incremental supply, and achieving a dynamic balance between supply and demand.

　Since 2017, the economic benefits of the aluminum industry have shown a rapid recovery, and the aluminum smelting industry has ended more than three years of losses, which has benefited from a series of supply-side structural reforms and special projects to clean up and rectify illegal and illegal production capacity. However, in order to consolidate and deepen the achievements of supply-side structural reform, the aluminum industry needs to continue to accelerate the "three-to-one reduction and one supplement", optimize the allocation of stock resources, expand high-quality incremental supply, and achieve a dynamic balance between supply and demand.

　As far as the electrolytic aluminum industry is concerned, compared with the output and demand, the production capacity of more than 45 million tons is obviously still more, and the production capacity under construction and new construction is still increasing, which will greatly exceed the predicted peak. As far as the aluminum processing industry is concerned, not only is there a serious overcapacity of general aluminum processing materials, but the overcapacity of high-end aluminum materials is even more serious, and the market homogenization competition has become increasingly fierce.

　In the next step, the aluminum industry's efforts to resolve excess capacity will shift from cleaning up and rectifying illegal and illegal production capacity, to reducing production capacity with environmental protection and ecological requirements as hard constraints, to reducing production capacity with the rule of law and fair competition as the principle, and to optimizing the allocation of stock resources and bankruptcy reorganization. The future development of aluminum enterprises should no longer blindly pursue production capacity and scale, but should pursue quality and efficiency through differentiated development, move towards the middle and high end of the global value chain, and achieve a dynamic balance between supply and demand.

　At present, the inventory of the aluminum market is at an all-time high, and there are still invisible inventories that are difficult to count. The overall debt ratio of the aluminum smelting and processing industry is relatively high, and some enterprises have large debts, tight capital chains, and accumulated financial risks. Environmental protection, energy conservation, and safety requirements are becoming increasingly stringent, and the shortcomings of enterprises and industries are becoming more apparent.

　Therefore, the supply-side structural reform of the aluminum industry still has a long way to go. It is urgent to achieve four changes in the growth mode, from relying on export growth to expanding domestic demand; from scale growth to quality and efficiency growth, from extensive growth to innovation-intensive growth, and from manufacturing to service system. As General Secretary Xi Jinping said in the report of the 19th National Congress of the Communist Party of China, strive to achieve higher quality, more efficient, fairer and more sustainable development!

中国铝工业要打好环保攻坚战，

　Take the Path to Sustainable Development

　General Secretary Xi Jinping has repeatedly stressed the need to accelerate the reform of the ecological civilization system and build a beautiful China. It is required to focus on solving outstanding environmental problems, adhere to the common governance of the whole people, prevent and control at the source, continue to implement air pollution prevention and control actions, and win the battle to defend the blue sky. It is necessary to promote green development, promote comprehensive conservation and recycling of resources, implement national water-saving actions, reduce energy consumption and material consumption, and realize the circular link between production systems and living systems.

　We should admit that the aluminum industry is a resource and energy-intensive industry, and the pollutant emissions and environmental impact in the production process are relatively large. The rapid expansion of the scale of electrolytic aluminum plants and alumina plants has brought about overcapacity, excessive consumption of resources and energy, and excessive land development. At the same time, pollutant emissions and ecological and environmental problems have become increasingly severe. The actual hazards and long-term risks brought about must be faced and urgently addressed. The aluminum industry should embark on a development path that is in line with the concept of ecological civilization development as soon as possible.

　At present, there are six main environmental problems facing the aluminum industry.

　1. Alumina plant red mud emissions are huge. It is estimated that the domestic alumina industry produces nearly 100 million tons of red mud every year, and the cumulative stockpile exceeds 500 million tons. The current comprehensive utilization rate of red mud is only about 4%.

　2. The emission of electrolytic aluminum fluoride exceeds the environmental capacity and bearing capacity. The environmental capacity problem caused by the over-centralized construction of electrolytic aluminum plants has not been taken seriously, especially the total amount of fluoride exceeding the standard and the accumulation problem are very worrying.

　3. Aluminum electrolyzer overhaul slag is a toxic hazardous waste. The annual output of the whole industry is estimated to be close to one million tons, and only a small amount is treated harmlessly. The flow and storage management of overhaul slag are also major risks.

　4. The increase in the emission limit standard of aluminum pollutants has put forward stricter emission requirements for aluminum enterprises. The treatment of other pollutants such as flue gas, dust, wastewater and aluminum slag in each process of aluminum plants also needs to be strengthened with the improvement of environmental protection requirements.

　5. The aluminum industry needs to gradually change the energy structure. The energy structure of the aluminum industry is still dominated by coal power, and the overall carbon emission level is relatively high. Under the new situation of low-carbon development, it is facing the constraints of clean production and low-carbon emission reduction. Reducing coal and carbon will be a new direction for industrial transformation.

　6. The level of energy efficiency in the production of electrolytic aluminum needs to be improved. In 2016, the electricity consumption of electrolytic aluminum alone accounted for about 7.25% of the electricity consumption of the whole society. At the same time, in the process of aluminum electrolysis production, about 50% of the energy input into the electrolytic cell is lost in the form of waste heat. Improving the energy efficiency level in the production of electrolytic aluminum is not only an urgent requirement for the country to save energy and reduce emissions, but also a necessary choice for enterprises to improve operational efficiency and achieve sustainable development.

　The above six aspects of the problem are all outstanding environmental problems in the new era of national and aluminum development, and the development is facing new bottlenecks that need to be dealt with urgently!

The new era has placed higher demands on the aluminum industry.

It also provides more development opportunities

　In the report of the 19th National Congress of the Communist Party of China, General Secretary Xi Jinping put forward the goal of future national development. From building a moderately prosperous society in an all-round way to basically realizing modernization, and then building a modern socialist power in an all-round way is a strategic arrangement for the development of socialism with Chinese characteristics in the new era.

　The aluminum industry should also closely follow the country's pace towards a new era! The new era has put forward higher requirements for China's aluminum industry and provided more development opportunities for China's aluminum industry. It is a new era in which aluminum metal and aluminum industry demonstrate their capabilities and responsibilities and make important contributions to people's happiness, national prosperity, and national rejuvenation.

　The aluminum industry should closely follow the direction of the national economic transformation, serve key development areas, and prioritize the improvement of supply quality, opening up a new blue ocean of aluminum applications, and bringing new momentum to the aluminum industry.

　According to the strategic priorities mentioned in the report of the 19th National Congress of the Communist Party of China, focusing on meeting the growing needs of the people for a better life, the key areas for the development and application of aluminum products in the future include: lightweight transportation and transportation facilities; new logistics equipment and facilities; new energy materials such as aluminum batteries, as well as power generation equipment and facilities such as photovoltaics, wind energy, and nuclear energy; communications, computers, and consumer electronics; marine engineering and petroleum engineering and equipment; green buildings and related products for construction industrialization; aerospace field, accelerate the localization of aluminum for large aircraft and regional passenger jets; national defense and military industry, develop lightweight, intelligent weapons and combat equipment, logistics support equipment; environmental protection equipment and environmental engineering facilities.

　In addition, we should also focus on the strategy of serving rural revitalization, develop aluminum alloy products suitable for rural areas, including new building materials, agricultural tools, storage facilities, irrigation facilities, agricultural vehicles, etc.; around the strategy of serving a healthy China, develop the application of aluminum in medical apparatus, hospital facilities, rehabilitation equipment, fitness equipment, elderly welfare, etc.; strengthen the promotion of the advantages of aluminum packaging in food safety and hygiene, and promote the application of aluminum packaging products; around green production and green consumption, expand the application of aluminum foil in food, medicine, grain, daily necessities and other packaging; establish and improve the recycling system of aluminum packaging products, improve the recycling level of aluminum; expand the application of aluminum household products, expand the use of aluminum in urban public facilities.

结语

　The aluminum industry is a new force in the national economy, and it needs to integrate its ideals and pursuits, careers and interests into the new era. Today, we may be facing difficulties and moving forward with a heavy load, but we are fortunate enough that the party and the government have more consensus on the new development concept, with a perfect top-level design, our yearning for a better life has a better and faster path to realization, and our expectations for social fairness and justice have been more guaranteed and maintained.

　The new development concept of the new era has been established, the blueprint has been drawn, and the action plan has been drawn up. We will actively participate in this great practice, participate in and witness the process of this era, and jointly build our beautiful aluminum industry, so that it can develop healthily and sustainably, and stand among the green waters and green mountains of the motherland with a new image.