DJ Chalco's Henan, Shandong Units Cut Alumina, Aluminum Output

Aluminum Corp. of China Ltd. (ACH), or Chalco, has begun to shut part of the aluminum and alumina production capacity at its Shandong unit, company executives said Wednesday.

About 1 million metric tons of alumina output and nearly 25,000 tons of aluminum output has been suspended since earlier this month, two executives with the Shandong unit said.

They added that the company doesn't have a plan for resuming use of the capacity.

In Henan, Chalco has shut 40,000 tons of aluminum output, or two-thirds of its total aluminum capacity, since earlier October, and it's likely to shut 400,000 tons of alumina production capacity in the next couple of days, an executive at its Henan unit said.

The executive added that more units around the country, including Shanxi province and Guangxi Zhuang Autonomous Region, are likely to complete similar cutbacks in the near future, squeezed by high production costs and slumping product prices.

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