New aluminium smelters 'to raise efficiency'

PUBLISHED : Thursday, 03 March, 2011, 12:00am
UPDATED : Thursday, 03 March, 2011, 12:00am

Mainland aluminium companies are still building new smelters despite low profitability and overcapacity because they need to add low-cost production to improve industry efficiency, Luo Jianchuan, president of the nation's largest aluminium producer, Aluminum Corporation of China (Chalco), said it plans to add 388,000 tonnes of low-cost annual smelting capacity. It produced 3.84 million tonnes last year. New technology will cut operating costs by 10 per cent and investment cost by 22 per cent, he said.