SMM11, March 22: in order to avoid the invasion of the market by Chinese aluminum producers, the aluminum industry of the Republic of Korea is jointly trying to resist a Chinese aluminum giant from entering the market. Representatives of the South Korean Nonferrous Metals Association met with officials from the Guangyang Bay District Free Economic Zone Administration of Quan Ronan Road on Friday to appeal for rejection of Henan Mingtai Aluminum Co., Ltd.'s plan to build a plant nearby.
South Korean officials believe that the introduction of such an important player in the global aluminum market could push up South Korean aluminum production, which in turn will lead to a fall in aluminum prices.
But Mingtai has set up a local entity called Guangyang Aluminum and has submitted a plan to local authorities to build a 20, 000-ton-a-year plant on 20. 5 acres at a cost of $35.2 million.
Mintai's move is seen as the butterfly effect of US President Donald Trump's overall tariffs on imported aluminium this spring. Coupled with U. S. sanctions on imports of Chinese aluminum foil, Chinese manufacturers have been looking for other exports of large-scale aluminum production.
Although South Korea has previously taken a short break from the Trump administration's tariffs, it has yet to succeed in passing long-term exemption negotiations.
(note: if copyright issues are involved, please contact SMM and we will deal with them in a timely manner.)
