China's Chalco sinks into red in 2009

China's largest aluminium producer Chalco said it swung into the red in 2009 with a loss of 4.65 billion yuan ($A750 million) as the financial crisis took its toll.

"In 2009, (Chalco) was hit by the global financial crisis, demand for aluminium plummeted, and aluminium prices were low for a relatively long period of time," the company said in a statement on the Shanghai stock exchange.

"The firm's production and operations suffered unprecedented difficulties and challenges," it said in Saturday's statement.

The loss compared to a net profit of 9.2 million yuan in 2008, although this too was a significant drop from the previous year due to higher energy prices, falling demand and inventory devaluations as metal prices sank.

Chalco - which posted sales of 70.3 billion yuan in 2009 - is the listed unit of Chinalco, which struck a $US1.35 billion ($A1.49 billion) deal with mining giant Rio Tinto earlier in March to develop a huge African iron ore field.

Last June, Chinalco suffered a blow when its $US19.5 billion ($A21.49 billion) bid to effectively double its stake in Rio Tinto to about 18 per cent collapsed.

The following month, four employees of the Anglo-Australian miner were arrested on charges of accepting bribes and stealing trade secrets, during fraught iron ore contract talks between top mining firms and the Chinese steel industry.

The four were tried this week and the verdict is due on Monday. Chinalco has distanced itself from the case, saying it has no connection to the failed deal.