According to a report in local media, China’s Yunnan provincial government has instructed aluminium producers to keep their monthly output during September-December 2021 below actual production in August 2021. As a result, combined production of major smelters, including Yunnan Aluminium, Yunnan Shenhuo Aluminium, Yunnan Hongtai New Materials and Yunnan Qiya Metal, is expected to fall to 3.21 million tonne in 2021 as compared with their total capacity of 4.4 million tonne as only 2.75 million tonne of capacity at these smelters is currently in operation.Following the same policy, other Chinese regions have also ordered the smelters to keep their outputs limited as they struggle with tight power supply and are under pressure to reduce carbon emissions.Yunnan Aluminium Co Ltd has reduced its 2021 production target by more than 500,000 tonnes or almost 18% after the local government enforced production curb for the rest of the year. Its primary aluminium output was expected to fall to 2.36 million tonnes this year. It is down slightly from 2.41 million tonnes in 2020 but way below the initial target of the year 2.87 million tonnes announced in March.Aluminium smelters using hydropower in Yunnan province have been asked to keep their average monthly output in September-December at August levels or lower. Following the same policy, other Chinese regions have also ordered the smelters to keep their outputs limited as they struggle with tight power supply and are under pressure to reduce carbon emissions.
According to a report in local media, China’s Yunnan provincial government has instructed aluminium producers to keep their monthly output during September-December 2021 below actual production in August 2021. As a result, combined production of major smelters, including Yunnan Aluminium, Yunnan Shenhuo Aluminium, Yunnan Hongtai New Materials and Yunnan Qiya Metal, is expected to fall to 3.21 million tonne in 2021 as compared with their total capacity of 4.4 million tonne as only 2.75 million tonne of capacity at these smelters is currently in operation.Following the same policy, other Chinese regions have also ordered the smelters to keep their outputs limited as they struggle with tight power supply and are under pressure to reduce carbon emissions.Yunnan Aluminium Co Ltd has reduced its 2021 production target by more than 500,000 tonnes or almost 18% after the local government enforced production curb for the rest of the year. Its primary aluminium output was expected to fall to 2.36 million tonnes this year. It is down slightly from 2.41 million tonnes in 2020 but way below the initial target of the year 2.87 million tonnes announced in March.Aluminium smelters using hydropower in Yunnan province have been asked to keep their average monthly output in September-December at August levels or lower. Following the same policy, other Chinese regions have also ordered the smelters to keep their outputs limited as they struggle with tight power supply and are under pressure to reduce carbon emissions.