Shanghai aluminum prices rose on Friday, hovering near a 11-year high, on supply worries in China amid a fresh round of electricity restrictions in major producing province of Yunnan.
The most-traded September aluminum contract on the Shanghai Futures Exchange closed up 2.6% at 20,085 yuan ($3,108.94) a tonne, near a January 2010 high of 20,530 per tonne.
Three-month aluminum on the London Metal Exchange rose as much as 0.5% to $2,605.50 a tonne, its highest since April 2018 and on track for its sixth straight monthly gain.
“(Prices are rising) because of Yunnan’s electricity control,” said a Singapore-based trader.
Aluminum producers in Yunnan province received a notice from local authorities to restrict their power consumption, with aluminum smelter Yunnan Shenho – a unit of China’s Henan Shenhuo Coal & Power Co Ltd – set to miss its 2021 output target due to the power cut.
* Aluminium inventories in ShFE warehouses
* The premium of LME cash aluminum over the three-month contract
* LME copper fell 0.4% to $9,786 a tonne at 0706 GMT, nickel shed 0.5% to $19,740 a tonne, ShFE copper edged up 0.4% to 71,820 yuan a tonne and ShFE zinc rose 0.9% to 22,495 yuan a tonne.
* Workers at Chile’s Andina copper mine operated by state-owned Codelco turned down the firm’s offer for a new collective contract on Thursday, paving the way for a potential strike at the facility, the union told Reuters.
* For the top stories in metals and other news, click or
($1 = 6.4604 yuan)
(Reporting by Mai Nguyen in Hanoi; editing by Amy Caren Daniel and Jason Neely)