According to reports, Alcoa executives said on Wednesday that downstream users may cut production of alumina and electrolytic aluminum in the next few weeks or cause a decline in global demand for caustic soda. This week, Alcoa executives demanded that caustic soda producers be appropriate in Houston. Lowering the rising price of caustic soda. The US caustic soda November contract price was $445-470/dust short-dust (DST), which was an increase of 128% from the beginning of 2011.

According to Alcoa's statistics, in the second half of 2011, the global alumina industry reduced its demand for caustic soda by approximately 260,000 tons due to production shutdown. Due to rising production costs, profitability of the electrolytic aluminum industry has continued to decline. Since the third quarter of 2011, Alcoa's losses have continued to increase, while the decline in prices of London's light metal exchanges has led to a decline in corporate profitability. In particular, the continuing European debt crisis and the slowdown in China’s economic growth have led to a decline in global demand for aluminum metal, and it is expected that the global aluminum producers will close more production facilities in the coming year.

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