Falling Of Global Aluminium Overcapacity Will Increase The Prices

Global aluminium overcapacity will fall sharply this year, by the impact of China's pollution control action in major producers, and shortages will be continued to 2018, but the market has basically digested the relevant impact, a Reuters poll revealed.

Aluminium is the best metal for the London Metal Exchange this year, which has risen 13% percent since this year to a 28-month high. The reason for triggering this rally is that the Chinese government should reduce aluminium production by about One-third in the winter season among four provinces of Shandong, Henan, Hebei and Shanxi.

Analysts expect the next wave of aluminium prices to appear in the second half of the year, likely to fall in the fourth quarter. When the effect will be more pronounced, a real impact on the real goods market will occur.

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