Aluminum Corp of China's stock prices slid by 3.4% today, following a sharp increase in aluminium prices on the London Metal Exchange. Aluminium prices surged by 2.3% to $2,341 per tonne, the highest level in nearly two months.
The price hike is attributed to supply chain disruptions and increased demand for aluminium in the wake of the ongoing conflict in Ukraine. The disruption to Russian aluminium exports has led to a shortage of supply, driving up prices.
According to data from the London Metal Exchange, aluminium prices have risen by 10% in the past two weeks alone. The price hike is expected to have a significant impact on aluminium producers and consumers alike.
Shares in Aluminum Corp of China, one of China's largest aluminium producers, fell sharply in response to the price hike. The company's stock price has fallen by over 10% in the past month.
The UK Government has yet to comment on the price hike, but the Foreign Office has updated its travel advice to warn of potential supply chain disruptions in Ukraine.
The aluminium industry is a significant contributor to the UK economy, with aluminium exports worth over £1.3 billion in 2022. The price hike is expected to have a ripple effect throughout the industry, impacting producers, consumers, and supply chains.