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Aluminum smelters in China's Yunnan hit by hydroelectric power pinch

Successive production cuts stem from rainfall shortage last year

The Baihetan hydropower plant in China's Yunnan province.   © Reuters

GUANGZHOU -- The aluminum manufacturing hub of Yunnan province in southern China is cutting back on production of the metal, amid severe water shortages that have hampered the area's hydroelectric power supply.

"The power supply situation is severe, and hydroelectric electricity generation capacity is down. We received a request to reduce our power consumption," read a notice from Yunnan Aluminium, a major aluminum smelter in Yunnan, to investors in late February regarding its current production capacity.

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