Alcoa’s outlook in the downstream and end market segment seems positive for 2015

The recent Alcoa results show the company is making a great shift from upstream operations to downstream sector and achieving positive results as a consequence.

Alcoa has made positive growth projections for the year 2015 across the different sections of the downstream business including aerospace, automotive, building, construction, industrial gas turbines and packaging end markets.

Growth predictions for global aerospace sales are estimated at 9 to 10 percent in 2015 as there are several deliveries listed for the year across large commercial aircraft, regional jet and business jet segments.

Global automotive production increase is touted at 2 to 4 percent for 2015 with 1 to 4 percent expected rise in North America.

In the sections of commercial building and construction market, industrial gas turbine market and packaging market, the estimated growth is predicted ass 5 to 7 percent, 1 to 3 percent and 2 to 3 percent respectively.

The heavy duty truck industry seems weak in China, Europe and Brazil with a projected decline of 2 to 4 percent although in North America there are increasing orders and an expected growth of 6 to 8 percent growth in 2015.

In a bid to optimize resources and improve profitability, Alcoa sells its Belaya Katilva, Russia facility to a wholly-owned subsidiary of Stupino Titanium Company, closing the sale on March 31. The terms of the deal however were not revealed.

Meanwhile, Alcoa’s automotive expansions in Davenport, IA and in Tennessee are on track. The former reportedly shipped record number of sheets to feed high demands while the latter is expected to be completed by mid-2015.