26 JANUARY 2014AlCircle.com
Aluminium producers must limit supply to help aluminium market: Rusal CEO
Edited by : AL CIRCLE
2 min read
According to Oleg Deripaska, the CEO of Rusal, the largest aluminium company in the world, discipline among aluminium producers and restrictions in supply to the market can save the aluminium market from the current financial crisis.
"Now we realize only discipline on the supply side… will help us to recover," said Mr. Deripaska.
"It is interesting that finally the world recognized we should have more disciplined in terms of supply of commodities to the market. We were very optimistic in 2005, 2006 and 2007 in thinking that growth could continue for ever," he added.
Deripaska passed this message to CNBC from the World Economic Forum in Davos, Switzerland.
Rusal stopped production at its non-profit European smelters and cut down heavily on its aluminium output in 2013 to keep the falling aluminium price in control.
Rusal reported a total aluminium output of 954,000 tons in the third quarter of 2013, which is 3.8 percent less than the last year and 8.4 percent less than the third quarter of 2012.
Nonetheless, Rusal foresees a boost in aluminium demand in near future and forecasting an annual hike of 6 percent from 2013 through 2015.
"We have to be cautious about how much will be consumed over the next quarter... We need to be patient," he summed up.
"Now we realize only discipline on the supply side… will help us to recover," said Mr. Deripaska.
"It is interesting that finally the world recognized we should have more disciplined in terms of supply of commodities to the market. We were very optimistic in 2005, 2006 and 2007 in thinking that growth could continue for ever," he added.
Deripaska passed this message to CNBC from the World Economic Forum in Davos, Switzerland.
Rusal stopped production at its non-profit European smelters and cut down heavily on its aluminium output in 2013 to keep the falling aluminium price in control.
Rusal reported a total aluminium output of 954,000 tons in the third quarter of 2013, which is 3.8 percent less than the last year and 8.4 percent less than the third quarter of 2012.
Nonetheless, Rusal foresees a boost in aluminium demand in near future and forecasting an annual hike of 6 percent from 2013 through 2015.
"We have to be cautious about how much will be consumed over the next quarter... We need to be patient," he summed up.
Grow with
AL Circle
