This morning in metals news, China offered a response to the U.S.’s designation of it as a currency manipulator, British Steel’s lenders are looking for a speedy end to the auction for the liquidated steel company and Glencore announced it will pause production at a mine in the Democratic Republic of the Congo.
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China Responds to ‘Currency Manipulator’ Label
Earlier this week, in response to China’s devaluing the yuan to levels last seen during the financial crisis, the U.S. Treasury Department announced it had designated China a currency manipulator.
The move marked yet another escalation in tensions in the ongoing U.S.-China trade war.
According to CNBC, the People’s Bank of China has rejected the claim and agued the U.S.’s move negatively impacts the international financial order.
Looking for Closure
Meanwhile, lenders to the embattled British Steel, the firm forced into liquidation earlier this year when it was unable to secure another government loan, are looking for a swift end to the auction process, Sky News reported.
According to Sky News, lender White Oak ABL, which agreed to lend British Steel £90 million last year, has argued British Steel’s Scunthorpe plant should be shuttered unless a deal can be reached.
Glencore to Pause Production at Mutanda
Miner Glencore announced will pause production at its Mutanda mine in the DRC, Bloomberg reported.
The mine is one of the world’s largest sources of cobalt, which is used in electric vehicle batteries. According to the report, the plunge in cobalt prices prompted the miner to close the mine.
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“At Mutanda, we are planning to transition the operation to temporary care and maintenance by year end, reflecting its reduced economic viability in the current market environment, primarily in response to low cobalt prices,” CEO Ivan Grasenberg said in a Wednesday release covering the miner’s half-year results. “We continue to progress studies on the sulphide project, having the potential to extend operations for many years, and anticipate being able to provide an update at our Investor Day in December.”