China's swoop on Boeing supplier points to aluminium's future
Purchase of Aleris by entrepreneur Liu Zhongtian for US$2.3b indicates Chinese firms are adding downstream capacity by acquiring overseas assets
Shanghai
CHINA'S emergence as the world's biggest aluminium maker has shaken up the industry, creating a surplus that forced competitors to close plants as profit fell.
Alcoa Inc, an iconic US producer for more than a century, has shuttered all but one smelter and plans to split itself in two.
While some companies begin to show signs of stanching the red ink, there's probably more disruption ahead.
After dominating the market for raw aluminium, China wants to expand its ability to make higher-value products with the commodity. The biggest step so far was the announcement last week that Chinese aluminium entrepreneur Liu Zhongtian will acquire Cleveland-based Aleris Corp for US$2.3 billion.
The deal gives the founder of China's largest producer of extruded aluminium greater access to American and European technology, as well as buyers that include aerospace manufacturers like Boeing Co and automakers such as…
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