Aluminum & zinc prices expected to rise further due to high electricity prices
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Update time : 2022-01-06 21:59:40
The prices of aluminum and zinc are greatly affected by electricity. With the soaring electricity prices, concerns about supply interruption have led to price hikes in most LME’s metals, including aluminum and zinc. Coupled with the continued decline in aluminum and zinc inventories, the prices of the two metals were expected to continue to rise.
Wenyu Yao, a data analyst at ING, said that there is no quick solution to the European power crisis. It was estimated that Europe has closed 400,000-500,000 tons of aluminum production capacity.
Nyrstar, a global leading zinc manufacturer, said that its Auby zinc smelter in France will suspend production from the first week of January due to continued rising power prices.
Nyrstar said that the current electricity price in Europe has hit a historical high, and French electricity price is even much higher than that in other European countries. The power price in France was expected to keep rising in early 2022.
