SHANGHAI, Dec 22 (SMM) –LME aluminium rose by nearly 1% and approached $2,800/mt on December 22 and the most-traded SHFE aluminium rose 2.56% intraday to settle at 20,045 yuan/mt. The market is worried that Montenegro, Germany and other countries may cut the production of aluminium at the end of the year due to the shortage of energy supply in Europe and the sharp rise in electricity prices, boosting bullish sentiment of some long positions.
The current production capacity of aluminium in Western Europe stands at about 5 million mt, accounting for 6% of the total. The annual production capacity of aluminium of it records about 3.26 million mt at the end of November, with an average operating rate of 65.2%. The overall operating rate is low.
