Commodity trader Trafigura Group is in talks to buy aluminum from United Rusal International, highlighting its willingness to strike new deals with Russian companies even as its biggest rival balks, reports Bloomberg. Trafigura and Rusal are discussing a term contract for about 150,000 metric tons of aluminum on a delivered-China basis, according to people familiar with the matter, adds Bloomberg.Trafigura’s arch rival Glencore has long been the leading buyer of Rusal’s metal and continues to handle large volumes under a multiyear contract. The relationship with Rusal has for years underpinned Glencore’s status as the dominant global aluminum trader. However, the company last year said it won’t enter into any new trading business for Russian commodities following the invasion of Ukraine, unless directed to do so by government authorities.Trafigura has not made any such vow, saying only that it will comply with sanctions. It has said it “unconditionally condemns the war,” ended long-term oil contracts with Rosneft PJSC and sold its stake in a major Russian oil project.
Commodity trader Trafigura Group is in talks to buy aluminum from United Rusal International, highlighting its willingness to strike new deals with Russian companies even as its biggest rival balks, reports Bloomberg. Trafigura and Rusal are discussing a term contract for about 150,000 metric tons of aluminum on a delivered-China basis, according to people familiar with the matter, adds Bloomberg.Trafigura’s arch rival Glencore has long been the leading buyer of Rusal’s metal and continues to handle large volumes under a multiyear contract. The relationship with Rusal has for years underpinned Glencore’s status as the dominant global aluminum trader. However, the company last year said it won’t enter into any new trading business for Russian commodities following the invasion of Ukraine, unless directed to do so by government authorities.Trafigura has not made any such vow, saying only that it will comply with sanctions. It has said it “unconditionally condemns the war,” ended long-term oil contracts with Rosneft PJSC and sold its stake in a major Russian oil project.
