Aluminum price drops to $3,000 per tonne of solid delivery

  • 13-09-2021, 19:27
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    In Monday’s trade, the price of aluminum fell to a tonne – the highest level of the metal in 13 years, with solid supplies deteriorating due to the recent military coup in Guinea.
    The people of Africa are rich in bauxite rocks, from which aluminum is processed.
    Aluminum prices had risen before the coup earlier this month, as global economic activity has risen 40 percent since January as Covid-19 returns from the bottom. After reaching its highest level since 2008, the base metal used in everyday items fell to $ 2,953 a tonne in morning trading on the London Metal Exchange.
    The rise in prices was also due to an increase in electricity prices in China, which led to a decline in production at several foundries in its western Xinjiang region.
    Melting aluminum consumes a lot of energy. Guinea has the largest reserves of bauxite in the world, a red or gray stone melted in aluminum oxide.
    Guinea’s ruling army remains under diplomatic pressure after special forces led by Lt. Col. Mamadi Dumbouya seized power and arrested President Alpha Conde.