It is fighting the conclusions reached by the Australian Customs and Border Protection Service in 2010 about dumping by the Chinese group, which is 41% owned by Chinalco, a 100% government-owned aluminium corporation.

Chalco was identified as the largest producer of primary aluminium, or ingots, in the country, and was a primary supplier of all the Chinese manufacturers caught up by the customs investigation.

Customs found that the extruded aluminium products exported to Australia had been dumped with margins of 2.7 to 25.7%, and subsidised from 3.8% to 18.4%, in the process materially damaging the Australian market.

But Chalco said customs had identified a "distorting effect" of government, that a combination of export taxes and no VAT rebate caused a 'significant increase in the supply of primary aluminium in China', which pushed prices down.

A hearing is currently taking place at Australia’s Federal Court and continues.

Source Sydney Morning Herald