China to continue release aluminium from state reserves in batches: Source
The National Development and Reform Commission (NDRC) said on Monday, July 19, that China would continue to release aluminium from state reserves to lower the metal price.
In a rare move aimed at cooling a rally in metal prices that has moved up raw materials costs for Chinese downstream aluminium manufacturer, the country sold 50,000 tonnes of primary aluminium in only a day of two allotted for the auction.
More than 200 non-ferrous fabricators attended the bidding, with sales prices about 3-9 per cent lower than market price that day, the NDRC spokesperson Yuan Da said at a press briefing.
"The release initially achieved the expected goal ... targeted placement granted downstream fabricators an opportunity to replenish stocks and lower some companies' raw material costs," Mr Yuan said.
The NDRC also pledged to keep reinforcing supervision of the futures and spot market and strictly crack down on irregularities such as hoarding, it said.
Shanghai aluminium futures fell 1 per cent to RMB 19,290 per tonne.
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