Electricity rationing impact electrolytic aluminum Jiaozuo Wanfang production 1/3

Chinalco has not yet announced a reduction in production, aluminum price increase enhance enterprise profitability in order to complete the energy-saving emission reduction task and the introduction of power rationing policy, in the impact of steel, cement industry, but also affect the large energy consumption electrolytic aluminum industry, and is located in the country's largest electrolytic aluminum production in Henan province, listed companies Jiaozuo Wanfang (000612.　　SZ), became the first electrolytic aluminum enterprise that officially announced the reduction of production. Jiaozuo Wanfang today issued a notice, due to the power supply tight, the company from today's production capacity of aluminum electrolysis about 140,000 tons, about the company's total aluminum electrolytic capacity of 420,000 tons of one-third.　　The company said the cut would affect the company's 2010 aluminum electrolysis production of about 30,000 tons, accounting for the company's annual aluminum production plan 423,800 tons of 7.1%.　　The previous few days, the Henan provincial government has just convened the provincial energy-saving work teleconference, arrangements for the deployment of energy saving 3 months after the year, including the last quarter of the province limit electrolytic aluminum production 180,000 tons, pressure reduction of 2.5 billion-kilowatt when the plan.　　China's electrolytic aluminium production was 1.279 million tonnes in August and aluminum production has fallen for 3 consecutive months, according to data published by the National Bureau of Statistics. On the impact of the cut, Wang Liyun, a joint metal analyst, told the first financial daily that the spot aluminum price followed the aluminum price higher last week and was pushed up to around 16100 yuan/ton.　　In the first half of this year, spot aluminum prices to 13815 yuan/ton of low, electrolytic aluminum enterprises into a loss, and in accordance with the current price of electrolytic aluminum, enterprises began to restore profitability.　　Northeast Securities analyst Yang Xiahui earlier said that the expected to cement, steel, if not to reduce emissions, non-ferrous metals as a high power consumption industry or become the next target, of which electrolytic aluminum tons of electricity consumption of 14,500-kilowatt, absolute power consumption accounted for the basic metal consumption of 94%, it is likely to become the primary goal of government regulation.　　The provinces that have rationed electricity to electrolytic aluminum are far more than Henan province, and electrolytic aluminium companies in Guangxi and Guizhou are also being demanded by local governments to cut production. According to the Shanghai Nonferrous Metal Network survey, Guizhou province Hongyi a large electrolytic aluminum plant recently received energy conservation notice, has shut down hundreds of 200,000 electrolytic tanks, is expected to reduce the monthly production of electrolytic aluminum one-third.　　The industry website quoted the head of a large carbon producer in Guizhou province as saying that the factory originally planned to increase the price of prebaked anode in October, but by the reduction of demand for electrolytic aluminum plant and other factors, prices have not increased space, adjustment plans can only temporarily stranded. Although several provinces electrolytic aluminum companies announced production cuts, but up to now, China's largest electrolytic aluminum companies listed in China Aluminum (601600. SH) has not yet announced the limited-limiting plan.　　Last year, the company suffered huge losses and is trying to keep listed companies profitable for the year. The excess capacity has been restricting the profitability of domestic electrolytic aluminum enterprises. From 2003 to 2010, in the global electrolytic aluminum capacity expansion, China's capacity expansion is the largest area, reached 16.684 million tons. But 2009, domestic electrolytic aluminum consumptionOnly 7.119 million tonnes, and only 7.806 million tonnes of output. Overcapacity in the next few years will be further intensified, in accordance with the current expansion plan for electrolytic aluminum enterprises, the next 4 years, domestic electrolytic aluminum production capacity will expand 3.829 million tons.　　Because of the need of energy saving and emission reduction, electrolytic aluminum becomes the first policy restriction object of nonferrous metals industry.　　Starting from July this year, Henan Province has completely abolished the electrolytic aluminum enterprise's preferential electricity price, the electricity price from 0.45 yuan ~0.47 yuan direct rise to 0.55 yuan, the ton aluminum cost increases approximately 1200 yuan, has hit the power plant's electrolytic aluminum enterprise. As the electrolytic aluminum industry in the short term can not get out of the haze of overcapacity, some electrolytic aluminum enterprises began to gradually extend to other industries, in order to find a way out.　　China's aluminum industry is moving toward multiple metals, including the Rare-earth industry.　　Due to the fourth quarter market bullish, Jiaozuo Wanfang said, the company will work with the local government and the electricity sector to maintain active communication, timely understanding of the changes in power supply conditions will be timely organization to resume production. Yesterday, Jiaozuo Wanfang stock price closed at 24.54 yuan, down 7.64%.