Battle for Aluminum Stocks Is Draining LME of Non-Russian Metal
- Trader IXM has begun withdrawals after amassing large position
- More than two-thirds of LME aluminum is now of Russian origin
A worker checks inventory of sheet aluminum rolls in Sevojno, Serbia.
Photographer: Oliver Bunic/BloombergThis article is for subscribers only.
The trader that last month built up a dominant position in aluminum has begun taking delivery of some metal while rejecting supplies produced in Russia, the latest evidence of a diverging market that is leaving the London Metal Exchange contract increasingly dependent on Russian material.
IXM, a metals trader owned by China’s CMOC Group Ltd., last month built up an unusually large position in the key LME aluminum contract for May delivery. It has started withdrawing some metal from the exchange — largely to deliver to its customers, according to people familiar with the matter, who asked not to be identified as the matter isn’t public.