SHFE 1709 Aluminum Falls Back from Highs (2017-7-18)  

[SMM Aluminum Express News] Glencore and Mercuria are separately in talks with the Venezuelan government over a potential deal involving state-owned Venalum, the country’s largest primary aluminum smelter. The discussions could involve operating the smelter and securing access to its aluminum output, although the exact structure remains unclear and no final agreement has been reached. Mercuria is reportedly pursuing the opportunity together with mining investment firm Heeney Capital. Venalum, located in Bolívar state, has nameplate capacity of around 430,000 tonnes of primary aluminum per year but has operated well below capacity after years of underinvestment and electricity shortages. A deal could therefore support rehabilitation and higher Venezuelan aluminum production, although the scale and timing of any restart or production increase have not been disclosed.

The US-Canada tariff war has escalated once again. Canada took the lead in imposing retaliatory tariffs on approximately $20 billion worth of US goods, and the US responded with tough countermeasures: starting September 15, a 50% tariff will be imposed on about 100 categories of Canadian products; starting September 29, imports of certain Canadian motor vehicles and dairy products will be further banned.