Prices for Chinese refractory bauxite have started to decline as a result of excess licences for 2011 exports, with licence holders reportedly accepting orders at a loss to ensure material is bought by the 30 December expiry date.
The overhang in licences became apparent in September, and the Chinese government has since set its 2012 export quota to 700,000 tonnes – a reduction of 130,000 tonnes – in an effort...