China Aluminium Network
Aluminium's allure to increase in next decade -CRU
Edited by : AL CIRCLE
2 min read
Less volatile prices and supply certainty are just two factors that will make aluminium stand apart from other industrial metals including copper in the next decade, a senior analyst at consultancy CRU Group said on Wednesday.
"We are predicting at least a decade now of aluminium being the preferred and most attractive metal from a consumer stance," said Paul Robinson, group manager for non-ferrous metals at consultancy CRU Group.
"Aluminium looks like a metal which will have a relatively stable price path compared to alternatives. The level is important, but just as important for consumers is the lack of volatility - which again makes aluminium look attractive," Robinson told Reuters.
Aluminium prices were last at $2,136 a tonne at around 1636 GMT on Wednesday, compared with copper at just under $7,700 and tin around $21,600.
CRU expects these two metals to lose out to aluminium in the packaging and transport industries respectively.
Robinson said large stockpiles of metal made aluminium an attractive prospect near term, while the fact that there were no perceived constraints on the ability to build additional smelters and access bauxite enhanced its medium-term prospects.
Aluminium, contained in bauxite ore, is the most abundant metal in the Earths' crust.
Inventories of aluminium in London Metal Exchange-registered warehouses alone are at around 4.6 million tonnes, or more than 10 percent of global demand.
"We are predicting at least a decade now of aluminium being the preferred and most attractive metal from a consumer stance," said Paul Robinson, group manager for non-ferrous metals at consultancy CRU Group.
"Aluminium looks like a metal which will have a relatively stable price path compared to alternatives. The level is important, but just as important for consumers is the lack of volatility - which again makes aluminium look attractive," Robinson told Reuters.
Aluminium prices were last at $2,136 a tonne at around 1636 GMT on Wednesday, compared with copper at just under $7,700 and tin around $21,600.
CRU expects these two metals to lose out to aluminium in the packaging and transport industries respectively.
Robinson said large stockpiles of metal made aluminium an attractive prospect near term, while the fact that there were no perceived constraints on the ability to build additional smelters and access bauxite enhanced its medium-term prospects.
Aluminium, contained in bauxite ore, is the most abundant metal in the Earths' crust.
Inventories of aluminium in London Metal Exchange-registered warehouses alone are at around 4.6 million tonnes, or more than 10 percent of global demand.
Previous article
Aluminium Registers Surplus In Jan-Sep, Lower On A Y-o-Y Basis
Next articleRio Tinto Alcan to close Lynemouth UK smelter
Grow with
AL Circle
