Nanshan Aluminium President: Rising aluminum prices slash profits of processing companies
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Update time : 2021-10-18 22:39:06
Lu Zhengfeng, President at Shandong Nanshan Aluminium, said that China's aluminum processing companies’ profits are being slashed due to soaring aluminum prices. The aluminum price has jumped by more than 50% so far this year owing to strong demand and reduced output caused by the energy crisis and floods in China.
In order to ease the increased prices, China's State Reserve Bureau has sold 280,000 tons of aluminum so far this year. However, Lu Zhengfeng said that the sales volume was too small to have a significant impact on the market.
Antaike, a Chinese state-owned research firm, forecasted that the Chinese aluminum market will face a shortage of 200,000 tons in 2022, changing from a surplus of 180,000 tons this year. Besides, it was expected that China's State Reserve Bureau will release 300,000 tons of reserves next year.
