Huayang aluminium smelter to launch in Shanxi by 2026

Huayang

The Huayang aluminium smelter will start in Yangquan, Shanxi, by September 2026. Huayang will develop the project in two phases totaling 394,000 t per year. Phase one begins construction in September 2025 and launches a year later. The first phase will add 294,000 t per year of new capacity.

Capacity and timeline

The Huayang aluminium smelter expands China’s primary aluminium footprint in a key resource base. Shanxi holds large bauxite reserves and strong alumina output. Therefore, the smelter should access stable feedstock and logistics. Meanwhile, the complete design targets 394,000 t per year across two stages.

Feedstock, technology, and market impact

The Huayang aluminium smelter will adopt 600 kA electrolytic baths. This technology offers high efficiency and lower specific energy use. As a result, unit costs and emissions intensity could improve. Shanxi’s integrated chain should further enhance reliability and working capital.

Regional supply will tighten competition for power and contracts. However, phased commissioning reduces operational risk during ramp-up. Therefore, downstream buyers may secure term volumes early. Market participants will track energy pricing and carbon metrics closely.

The Metalnomist Commentary

Huayang’s phased build balances speed with risk control in a feedstock-rich province. If 600 kA lines deliver as planned, cost and carbon performance should strengthen. Watch power tariffs, carbon policy, and start-up curves through 2026–2027.