The Platts Australian alumina daily assessment slipped $2/mt Tuesday to $337/mt FOB, netting a $4/mt decline in the last two days. Bid and offers were dragged down by weak demand, global longs and low aluminum prices.

A trader reported being aware of two 30,000 mt offers of western origin material at $350/mt CIF Lianyungang/China main port and $352/mt, for shipment in March.

Two Chinese consumer/reseller and western trader sources reported that port prices at Lianyungang have weakened in the last few days to Yuan 2,650-2,660/mt ex-warehouse, from Yuan 2,680/mt.

A third source reported being aware of bonded warehouse negotiations at Lianyungang for 20,000-30,000 mt lots at $353-354/mt ex-BWH basis, or a few dollars premium to fresh imported shipments.

In the last three days numerous Chinese importers put the buyers' absolute ceiling at $350/mt CIF Lianyungang/Chinese main port, for shipments in the next 30-60 days.

Platts assessed the handysize freight rate at $13.50/mt on Wednesday for a 30,000 mt shipment in March from Western Australia to Lianyungang.

A producer was heard to have sold a March 50,000 mt parcel on Wednesday at $325/mt FOB Sao Luis BL 30 days.

The Platts alumina ex-works Henan spot price continued Wednesday at Yuan 2,680/mt ($437) for 70:30 cash and credit payment terms.

"No one is buying now as they still expect prices to lower in the near term...everyone is just getting ready for the holidays now," a smelter source said.

A trader agreed, adding that he has already stopped trading and started his holidays early this week.

Henan's alumina price is expected to hit around Yuan 2,600/mt cash after the holidays, multiple market participants said this week.

The front-month March aluminum contract on the Shanghai Futures Exchange closed at Yuan 12,990/mt Wednesday, down from Yuan 13,165/mt last week, but up from Yuan 12,770/mt a month ago.

China will be closed for the Lunar New Year from February 18-24.