This is the first of two production embargoes that need to be removed
but sources note this is a positive signal that Alunorte could soon resume fully production. Alunorte has capacity to produce 6.4 million tonnes per year of alumina, 10% of alumina capacity outside of China. The additional alumina supply from Alunorte could cap an uptrend in seaborne alumina prices and may cause prices to fall later.
“Apparently, they are closer to come back fully and we estimate all embargoes on Hydro will be removed around June or July,” an alumina trader told Fastmarkets on the sidelines of the conference.
The development at the biggest alumina producer in the world has dented positive sentiment from earlier this week when most Chinese market...