China to sell copper, aluminum and zinc to downstream industry this year, SHMET says
LONDON, June 10 (Reuters) – China’s state reserve administration plans to sell off its copper, aluminum and zinc reserves under a program expected to last until the end of 2021, Chinese news provider Shanghai said. Metal Exchange Market (SHMET).
The National Food and Strategic Reserve Administration plans to deliver the material directly to downstream actors at the end of each month, SHMET said. He did not disclose the amounts involved.
Reserves administration was not immediately available for comment.
The news saw the LME copper benchmark prices CMCU3 sink 0.8% to $ 9,900 a ton by 3:30 p.m. GMT, analysts said.
“Copper in the spotlight this morning amid reports that (the reserve administration) plans to sell equipment until the end of the year,” said Alastair Munro of brokerage Marex.
China is seeking to release 800,000 to 900,000 tonnes of primary aluminum from its state reserves as early as next month to reduce high metal prices, the consultancy firm CRU said in a note to clients, citing contacts on the local market.
(Reporting by Zandi Shabalala and Tom Daly; editing by Edmund Blair)
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