Alcoa Slashes Its Outlook For China's Production Of Cars, Heavy Duty Trucks

Alcoa Inc. indicated that China's industrial economy is slowing more rapidly than expected, as the aluminum producer slashed its production outlook for the country for cars, trucks and construction. Alcoa said it now expects 2015 automotive production growth in China to be in the range of 1% to 2%, down from a previous outlook of 5% to 8% growth. Heavy duty truck and trailer production is now expected to drop 22% to 24%, compared with a previous estimate of a 14%-to-16% decline. Commercial building and construction sales are expected to increase 4% to 6%, down from its previous growth forecast of 6% to 8%. Alcoa's stock dropped 4.2% in after-hours trade, after the company reported third-quarter earnings and revenue that missed expectations.