AL Circle Analysis: US scrap imports hit 580kt as China slips 3.2%, who drives aluminium recycling?
Aluminium scrap is no longer a side story in the metal’s market. Rather, aluminium’s next standoff is over scrap. As US imports surge 37 per cent while China’s purchases decline, manufacturers in Europe and India are confronting a common challenge of securing affordable, reliable raw materials. With recycling rates, trade barriers and low-carbon production reshaping market, the global industry faces a critical question: who will control the metal that powers its circular future? Join the fourth edition of the webinar "Hedging for recyclers - Become an expert in 6 hours" by Jorge Dyszel. A 1.1-billion-tonne stockpile: US stocks up, China steps back, India asks for access The US imported 580,000 tonnes of aluminium scrap worth USD 2.07 billion in H1 2026 , with Canada accounting for 63.62...
A should-cost analysis of an aluminium tower furnace in India: Comparing the economics of LPG, PNG, and electric energy sources
In precision non-ferrous casting and high-volume die-casting operations, thermal energy conversion represents one of the largest controllable operating expenses. In modern aluminium foundries, where margins are squeezed by primary metal price fluctuations and stringent customer cost breakdowns, even a modest INR 1–2/kg variance in liquid metal melting cost can translate into tens of lakhs of rupees in annual cost differences. A rigorous, transparent should-cost benchmark is therefore essential for procurement teams, foundry managers and strategic sourcing leaders. This analysis examines a baseline should-cost model for a 1,000 kg/hour aluminium shaft or tower furnace in an industrial foundry. It compares liquefied petroleum gas (LPG), piped natural gas (PNG) and electric energy across...
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Tasmanian bauxite miner in maiden sale
Tasmania's newest miner has locked in its maiden shipment after losing $1.04 million last year. Australian Bauxite Limited has had its first 40,000 tonne shipment from its Bald Hill Mine, near Campbell Town, ready since early December. However, the price crashed and a sale deal did not proceed. On Tuesday, it announced a maiden shipment, with an initial cargo of 5000 tonnes to go in the last week of April. "The customer is seeking a second, larger shipment of 30,000 to 40,000 tonnes once stockpile sites in the receiving port are approved," the company told the ASX. "This is planned to occur within two months." It said the sale price was ‘’satisfactorily profitable,’’ but the amount was ‘’commercial in confidence’’. Australian Bauxite chairman and former Tasmanian premier Paul Lennon...
Alufoil Trophy 2016 winners set the standard for originality and performance
Once again the Alufoil Trophy competition has underlined the versatility and practical advantages of aluminium foil to create highly original new developments as well as fresh ideas to enhance existing products. The aluminium foil sector’s annual premier awards competition, the Alufoil Trophy brings out the best in both multinational and specialist foil manufacturers and converters. This year is no exception with 65 entries across the five major categories producing 10 outstanding winners, plus an Overall Excellence winner, which scored extremely high marks in all categories. “The ability to meet environmental and sustainability targets without losing any degree of performance or quality is very clearly demonstrated. In addition the technical innovations, to solve complex problems or meet...
Alcoa Q1 2016 Results: All Arconic segments on track to deliver $650 mln productivity savings
Lightweight metals major Alcoa announced yesterday first quarter 2016 results reflecting solid performance. During the period under review, downstream and value-added business segments of Alcoa, namely, Global Rolled Products (GRP), Engineered Products and Solutions (EPS) and Transportation and Construction Solutions (TCS) reported combined revenue of $3.3 billion. These three business divisions, which would be merged to form the innovation and technology-driven Arconic company after Alcoa's separation, reported after-tax operating income (ATOI) of $269 million, adjusted EBITDA of $537 million and adjusted EBITDA margin of 16.4 per cent. ATOI and adjusted EBITDA increased 8 and 7 per cent, respectively, year-over-year. The combined segments also generated $179 million in productivity as...
ISRI Convention discusses increased use of aluminium and its impact on recycling
The recently concluded Institute of Scrap Recycling Industries (ISRI) Convention and Exposition held fruitful discussions on the increased usage of aluminium by automotive industry and its impact on recycling. The panelists highlighted on the various light weighting benefits and emphasized on the need to create more capacities to meet rising demand. According to speakers of the session titled “The Increased Use of Aluminium in the Automotive Industry and its Impact on Recycling”, the usage of aluminium has increased three-folds since mid-1980’s. The use of aluminium in vehicles offers lightweighting benefits and closed loop capabilities. The aluminium usage in vehicles is expected to grow further. Original Equipment Manufacturers (OEMs) must work closely with suppliers to ensure that...
Fears grow for future of Rio Tinto jobs in Lochaber aluminium smelter
Reports that a company with no connection to the aluminium industry is interested in acquiring the Rio Tinto aluminium smelter at Fort William have raised job fears. The smelter employs 150 people and Rio Tinto is currently carrying out “a strategic review” of all its assets in Lochaber. Highland Council has stressed the company’s importance as a major employer in the local economy, pointing out that it is seven times as significant to Lochaber as the Tata Steel works is to Lanarkshire. Scottish Labour’s deputy leader, Alex Rowley, joined party candidate for Skye, Lochaber and Badenoch, Linda Stewart, and Fort William and Ardnamurchan councillor, Brian Murphy, to meet union members on Saturday this week.
Aluminium futures gain on spot demand
Aluminium prices in Indian market edged up by 40 paise to INR 101.30 per kg in futures trade today as participants enlarged positions, supported by a strong spot demand in the physical market. In futures trading at the Multi Commodity Exchange, aluminium for delivery in May inched up by 40 paise, or 0.40 per cent, to INR 101.30 per kg, in a business turnover of two lots. Likewise, the metal for delivery in current month traded higher by 30 paise, or 0.30 per cent, to INR 100 per kg in 187 lots. Traders said increased domestic demand from consuming industries at the spot markets, helped aluminium futures to trade higher.
China's restarted and new aluminium capacity unlikely to contribute much to H1 output
Continuous price recovery has triggered restart of idled capacity and commissioning of new capacity in Chinese aluminium market. How much output will those capacities contribute in the first half of this year?- SMM doubts. SMM expects restarted capacity unlikely to exceed 300,000-tpy in the first half of this year, contributed mainly by smelters with power tariff subsidies and scale effect. These restarted capacities will contribute less than 50,000 tonnes to output in H1, though. High restart cost and tight bank lending will deter many smelters from following suit. Besides, rising coal and alumina prices will also act as constraints, SMM aluminium analyst Liu Xiaolei explained. As for new capacity, the figure is unlikely to surpass 500,000-tpy in Q2, with output contribution estimated at...
Vedanta Ltd announces Q4 and Full-Year 2016 production results
Vedanta Limited announced yesterday production results for the fourth quarter and full year ended 31 March 2016. In Q4 FY2016, aluminium production was 226 kt at Jharsuguda and Korba. Q4 FY2016 aluminium production highlights: On 27th January, the company received approval from the regulatory authorities (Orissa Electricity Regulatory Commission) to use the power generated from three units of the 2,400 MW (4 x 600 MW) Jharsuguda power plant for captive use which would enable full ramp-up of the 1.25 mtpa Jharsuguda-II smelter. Consequently, it has commenced ramp-up of the first pot line of 312.5kt from 1 April 2016. The 325 kt Korba-II smelter produced 19,200 tonnes during Q4 FY2016 with 84 pots operational. Pre-commissioning activities have commenced for further ramp up from the end of...
Vedanta's FY16 alumina production drops marginally
Vedanta Limited announced yesterday production results of fourth quarter and full year ended 31 March 2016. In Q4 FY2016, Lanjigarh alumina refinery operated at a single stream and produced 211,400 tonnes. Vedanta Ltd has received approvals for expansion of the Lanjigarh refinery to 4 mtpa, which will be ramped up in phases on further visibility on bauxite sources. During FY2016, alumina production was marginally lower at 970,900, due to the single-stream operations at the refinery. Vedanta had set up the refinery in 2007, keeping an eye on the bauxite mine at Niyamagiri, spread over Kalahandi and Rayagada districts. In 2004, Vedanta had entered into a joint venture with state-owned Odisha Mining Corporation (OMC), the original lessee of Niyamagiri deposits for mining and sourcing of...
Altech Chemicals capital raising to be used for high purity alumina plant design
Altech Chemicals Ltd has banked $744,000 in a Share Purchase Plan and $2 million in total funds raised toward finalising the detailed design of Altech’s proposed high purity alumina (HPA) plant in Johor, Malaysia. Altech is aiming to become a leading supplier of 99.99 per cent (4N) high purity alumina (HPA) (Al2O3). Altech is unique in that it uses a process to convert aluminous clay, sourced from its own quarry in Western Australia to HPA in a simple, highly cost effective process with operating costs a fraction of its larger, more established peers. A recent Bankable Feasibility Study for the development of a 4,000 tonne per annum HPA processing plant at Johor provided robust financial outcomes from development of the project including a pre-tax NPV of US$358 million (previously US$326...
Pahang law enforcement agencies extend bauxite checkpoint operations
Pahang law enforcement agencies along with Pahang police will continue with operations on bauxite mining at nine checkpoints in line with the extension of the mining moratorium period. State police chief Sharifuddin Ab Ghani said the checkpoints which operated 24 hours a day were to ensure that only lorries with bauxite from the existing storage facilities with export permit were allowed to go to the port. "The checkpoint operations will also involve other law enforcement agencies such as the Land and Mines Department, Road Transport Department and the Land Public Transport Commission," he said when contacted in Kuantan on Monday this week. Sharifuddin said the locations of the checkpoints were along the main route to the port, namely Bukit Kuantan, Tanjung Pasir, Kampung Padang, Taman...
Rio Tinto warns of job cuts at Weipa bauxite operations
Mining giant Rio Tinto is flagging job cuts at its Weipa bauxite operations. The company has not revealed exact numbers yet, but has written to all personnel, warning them of job losses as part of a review to cut costs because of falling aluminium prices and competition. The operation employs 1400 staff and contractors. It is not expected to impact the separate $2.6 billion South of Embley expansion, now known as Amrun. Construction has started on the extension with up to 1100 people to be employed at its peak over three years. Many of the current staff are expected to move to the new operation. Weipa bauxite operations general manager Gareth Manderson told staff they “need to transform our business during 2016 in order to build resilience irrespective of market cycle”. “The work we...
India launches space technology to tackle illegal mining of bauxite and other minerals
Rising levels of illegal mining in India is seeing the government implement space technologies in an effort combat the issue. Each state was also asked to gather information on past illegal mining activities of minerals like bauxite and other metal ores, and methods used to check them. Balvinder Kumar, India’s mines secretary, said, mapping of mines by satellite will begin with major metals such as gold and iron ore, gradually expanding to include sand and limestone – where the problem is more prevalent. In September 2015 Indian Prime Minister Narendra Modi stressed the use of space technology to prevent illegal mining activities. “Once fully implemented, the move will bring about transformation in the Indian mining industry. We have identified large chunks of illegal mining in many...
US aluminium scrap recovery totaled 8,244 mln lb in 2015, up 2.8% over 2014
The U.S. aluminium industry purchased an estimated 746 million pounds of aluminium scrap during January 2016, according to aluminium recycling statistics published by the U.S. Geological Survey, Department of Interior, down 9.2 per cent from the January 2015 total of 822 million. USGS estimates that recovery of aluminium and aluminium alloys totaled 653 million pounds, a decrease of 8.6 per cent year-over-year. Preliminary data indicate that recovery of aluminium from scrap totaled an estimated 8,244 million pounds in 2015, up 2.8 per cent over the 2014 total of 8,018 million. U.S. exports of scrap, not included in the government’s consumption statistics, totaled 215 million pounds in January, down 4.8 per cent from January 2015. Aluminium imports of ingot, scrap and mill products into...
Alba sales surge by 1.4% in Q1 2016
Despite the downside trend of all-in-aluminium prices, Aluminium Bahrain B.S.C. (Alba) was able to increase its overall sales. For the first quarter of 2016, sales figures reached 231,538 metric tonnes (mt), an increase of 3,231 (mt), as compared to 228,307 mt in Q1 2015 while production dropped to 235,478 mt against 237,774 mt for the same period in 2015. Further, Alba’s Value-Added Sales averaged 52 per cent of total shipments in the first quarter of 2016 versus 64 per cent for the same period in 2015. Commenting on Alba’s sales and production for Q1 2016, Alba’s Executive Officer, Tim Murray said: “We managed to step-up our sales performance despite tough market conditions weighing on the aluminium industry and thanks to focused-marketing strategy.”
British aluminium foil tray manufacturer i2r creates unique bakery offering
The UK's leading aluminium foil tray manufacturers, i2r Packaging Solutions, have recently launched a range of tulip muffin aluminium foil wraps and greaseproof papers to expand their bakery offering. The initiative aims to position the firm as the only UK manufacturer to provide the baking industry with a one-stop-shop for both aluminium foil containers and FSC accredited tulip paper products, which can be branded and personalised. With a rustic and ‘made-at-home’ feel, filled samples of i2r’s tulip muffin wraps will launch the product on Stand B212 at the forthcoming Farm Shop and Deli Show at the NEC on 18-20th April. The wraps are available in a range of colours and print options. “With the requirement for food-to-go increasing and the demand for branded, personalised paper on the...
LME aluminium to test resistance at $1,539
LME aluminium is expected to test a resistance at $1,539 per tonne, a break above which could lead to a gain to the next resistance at $1,564. The uptrend from the March 24 low of $1,475 has resumed, driven by a wave c. A Fibonacci retracement analysis on the rise from the November 23, 2015 low of $1,432.50 to the March 7 high of $1,605 reveals a target of this wave at $1,564, the 23.6 percent level. The immediate resistance is at $1,539, the 38.2 percent level. Support is at $1,498, the 61.8 per cent level, a break below which could cause a loss to the 76.4 per cent level at $1,473.
Aluminium futures weaken 0.24% on profit booking
Aluminium prices softened by 0.24 per cent to INR 102 per kg in futures trading today as participants booked profits, driven by subdued demand in the spot market. At the Multi Commodity Exchange, aluminium for delivery in far-month May declined by 0.24 per cent to INR 102 per kg in a business turnover of 22 lots. Likewise, the metal for delivery in April shed 0.15 per cent to INR 100.95 per kg in 693 lots. Market analysts said the weakness in aluminium in futures trade was mostly to profit-booking by traders amid sluggish demand from consuming industries in the spot market.
