By Siyi Liu and Dominique Patton
FOSHAN, China, Dec 30 (Reuters) - Russian aluminium giant Rusal is looking to supply more low-carbon aluminium to China amid friendly ties and rising demand for the metal from the country's electric vehicle firms, a Rusal manager said on Friday.
Primary aluminium emits on average 16.6 tonnes of carbon dioxide per tonne of metal, according to the International Aluminium Institute, based on 2021 data, making it one of the most carbon-intensive segments of the metals industry and for automakers that use significant volumes of aluminium sheet.
Increasing volumes of low-carbon aluminium are being produced using hydropower or recycled material to lower carbon emissions.
"We are very optimistic about China's low-carbon demand," Huang Wenqian, vice president at Rusal Shanghai Economic and Trade Company Limited, told a conference on Friday.
Rusal says almost all of its 4 million tonnes of electrolytic aluminium produced each year are low-carbon, with no more than 4 tonnes of carbon emissions.
The company sells 400,000 to 500,000 tonnes of aluminium into China each year, a large share of China's 1.58 million tonnes of imports.
Rusal is offering its low-carbon product at a premium of between $20 and $40 per tonne over spot prices in China, compared with as much as $60 a tonne over aluminium contract prices listed on the London Metals Exchange in Europe, Huang said at the event held by Shanghai Metals Market in Foshan in southern China.
Demand for low-carbon aluminium is higher in Europe. However, many Chinese electric vehicle makers are working to lower their carbon footprint in anticipation of growing pressure from overseas consumers to decrease emissions, said Xia Ding, raw materials procurement manager at Chinese EV maker Nio .
Nio is aiming to use aluminium products with carbon emissions capped at 7 tonnes, Xia said at the Foshan conference, adding that the metal accounts for about half of a Nio car's emissions.
Aluminium makers are set to boost low-carbon metal output by 10% in 2023, driving down costs for carmakers seeking climate-friendly supplies. (Reporting by Dominique Patton. Editing by Gerry Doyle)