Aluminium rallied to the highest level in more than two months amid signs that smelters were finally beginning to respond to low prices by shuttering production capacity in scale.
Yesterday, Chalco, the Chinese state aluminium giant that is one of the world’s top producers of the metal, announced that it planned to close down temporarily 380,000 tonnes of production capacity – or a tenth of its total output.
In a filing, the company said it had decided “to exercise flexible production on part of its aluminium production line” as a result of “current market conditions”.
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