Bosnia to close down Aluminij Mostar aluminum facility

Metal Recycling News  |  2013-06-10 00:21:59   |   By Paul Ploumis

Bosnia's largest aluminum producer-Aluminij d.d. Mostar has announced shutdown of its facility, costing hundreds of job losses

SARAJEVO (Scrap Monster) : Bosnia’s largest aluminum producer-Aluminij d.d. Mostar has announced shutdown of its facility, costing hundreds of job losses.

Aluminij is the largest producer of aluminum and its biggest exporter in the region. The company’s supervisory board stated that the plant would close on June 17^th. According to estimates, around 900 jobs are at stake. The company cites, low demand, weakening prices and escalating power costs as the main reasons for the closure of the facility. The company had reported loss during the previous financial year. During the initial four months of this year too, the company is reported to be running at an average monthly loss of around $6.5 million.

Based in Mostar, Aluminij has an annual production capacity of nearly 160,000 tonnes of aluminum a year. The company has strategic deals with global majors such as Glencore International and Venture Coke Company LLC. Aluminij had played a major role in catering to the demands of European construction and automotive industry. In addition it also served as a supplier to a large number of domestic processors.

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