Alfa Bridge Group, a Hong Kong-based supply chain and commodity trading company operating since 2012, has been actively expanding its operations in the global commodities market. In September 2024, Alfa Bridge Philippines, the South-East Asian subsidiary, initiated shipments of copper ore to China, marking a significant step in the group’s international expansion and tapping further into the growing demand for copper in the Chinese market.
Copper Smelting Fees and Market Dynamics
The copper industry is currently facing a tightening supply of ores and concentrates, leading to a decrease in treatment and refining charges (TC/RCs) paid by mining companies and traders to smelters. Analysts forecast that TC/RCs will remain low throughout 2025 due to this supply constraint. In response, copper smelters are exploring alternative materials, such as blister copper, anodes, low-grade copper ores and copper scrap, to maintain production levels and stay in activity.
Alfa Bridge Group’s Engagement with Chinese Smelters
In light of these market conditions, Alfa Bridge Group is strategically engaging with smelter companies in China. Leveraging over 12 years of experience in trading with China and with its operation office in Shenzhen, one of the most dynamic city in the Greater Bay Area (GBA) consortium neighbor with Hong Kong, the company is offering comprehensive end-to-end supply chain services in the commodity trade sector, from direct sourcing from the mines through its local offices and subsidiaries in the Philippines, Zambia, Senegal and Brazil, and regional representation in the DRC, Tanzania and South Africa, controlling the entire supply chain all the way to the delivery to smelters in China. This expertise positions Alfa Bridge Group as a valuable partner for Chinese smelters seeking reliable sources of copper concentrates and other related materials.
Alfa Bridge Group’s direct relations into China’s smelting sector is underscored by several competitive advantages:
Direct Shipments of Copper and other materials: By initiating direct shipments of copper minerals to China, Alfa Bridge Philippines, amongst other subsidiaries of the group, has established a direct supply line with miners, ensuring a steady and reliable source of copper supply for Chinese smelters.
Strategic Partnerships: The company’s engagement with Chinese smelters is facilitated through strategic local partnerships, enabling Alfa Bridge Group to navigate the complexities of the Chinese market, cooperating with major players in trade financing and logistics and inspection to align with the specific needs of smelters.
Comprehensive Supply Chain Services: Alfa Bridge Group provides a range of solutions tailored to the smelting industry, including supplier selection, project management, supplier relationship management through its local offices and team, sampling and analysis, and product shipping. These services are designed to enhance efficiency and ensure the quality of materials supplied to smelters.
Conclusion
Alfa Bridge Group’s strategic development in engaging further with Chinese smelter companies and expanding its operations in the copper supply chain position the company as a key player in the global commodities market. By leveraging its extensive experience and offering comprehensive services, Alfa Bridge Group is well-positioned to navigate the challenges of the copper industry and contribute to the stability and growth of the smelting sector in China.
