China’s Aluminum Industry Estimated to Have $1.8B Loss Last Year

Sept. 18 (Bloomberg) -- The loss is 11.35b yuan, with 35% of companies losing money, or 89 of 281 aluminum enterprises, Qin Junman, vice president of China Nonferrous Metal Industry’s Foreign Engineering & Construction Co., says in presentation for the Metal Bulletin aluminum conference in Geneva today. * Industry still expanding, with 2,700 kt/a smelting capacity estimated to be under construction, mainly in Xinjiang, Qinghai, Gansu and Inner Mongolia * Domestic bauxite production didn’t meet demand of alumina refineries in China * Domestic bauxite grades “poorer” * Avg. power costs for aluminum smelters before taxes is highest in China, followed by Brazil, U.S., Australia, India, Norway, Russia, Canada and finally UAE * “Government support required: government to buy and store ingot to cut inventory”

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