Rusal executives: rising costs squeeze aluminum manufacturers' profits
RUSAL, an aluminum giant, said that in recent months, the cost of raw materials rose sharply, weakening the profits of aluminum producers.
Russian Aluminum sales director Steve Hodgson said that by 2021, Russian Aluminum value-added services in the proportion of total sales will rise to 60%, the U.S. sanctions against Russia did not have an impact on the company.
According to Hodgson, the London Metal Exchange (LME) aluminum prices rose 25% this year, boosted the production of aluminum to corporate earnings, but due to the recent Yang of sodium alumina, hydrogen and carbon electrode and other raw materials costs rose sharply weakened.
During the LME week, Hodgson said, "the cost of aluminum production has risen sharply, as smelting costs have risen, metal prices have risen, margins have leveled off."."
Hodgson declined to disclose the company's cost increase before the 13 quarter of November, when Japan and Russia announced their third quarter results.