What Happened: Norsk Hydro will shut down the Alunorte alumina refinery in Brazil because its waste facilities are almost at capacity, Bloomberg reported Oct. 3.
Why It Matters: Factors such as U.S. sanctions on Russian aluminum producer Rusal have tightened the aluminum market and caused an increase in aluminum prices. Taking the Alunorte refinery out of commission will add further uncertainty to the global aluminum market.
Background: The Alunorte plant is the largest of its kind and accounts for roughly 10 percent of global production outside of China. The facility has reportedly been operating at 50 percent capacity for the past year due to a legal dispute over its environmental impact.
- Why the U.S. Will Keep Russian Sanctions on Simmer, Not Boil (Aug. 27, 2018)
- The Moment for Mercosur's Trade Agenda Is Now (July 25, 2018)
- A Defiant Russia Builds Barriers to U.S. Sanctions (May 29, 2018)