RUSAL sees "fundamental changes" in aluminium sector

MOSCOW, (Reuters) - United Company RUSAL, the world's largest aluminium producer, on Thursday forecast "fundamental changes" in the global industry as 75 percent of smelters in Europe, the United States and China operate at below break-even. UC RUSAL said in a statement its primary aluminium output rose 6.5 percent to 3.3 million tonnes in the first nine months of the year. The company produced 8.4 million tonnes of intermediate product alumina in January-September 2008, up 2.0 percent year-on-year. The company's revenues rose 14 percent to $12.3 billion. Chief Executive Alexander Bulygin said in the statement 75 percent of aluminium producers in Europe, the United States and China were operating at below break-even with the metal trading at or below $2,500 per tonne. "As a result, today the aluminium industry is the only metals and mining sector with such a high concentration of unprofitable production facilities. This will inevitably lead to fundamental changes in the global aluminium industry," he said.