Global call to tackle Chinese aluminum over-production

Global call to tackle Chinese aluminum over-production

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An international coalition of aluminium trade associations has called for a global forum to be created ahead of the G20 meeting in Hamburg this summer to tackle China's soaring output. According to the Financial Times, Russian companies, hit particularly hard by Chinese production, are also backing the initiative by trade groups from the US, Europe and Canada, which represent companies including Rio Tinto and Alcoa. "This situation not only significantly distorts international trade flows affecting all of our countries but also undermines global stability," the three trade associations said in a letter to G20 leaders. China is the world's largest producer of aluminium but, for the first time, has committed this year to cut capacity in its northern areas to reduce air pollution. The pledge has offered hope that the government might enact measures similar to those that have helped to reduce steel and coal capacity.