AL Circle Analysis: Bauxite developments, alumina trade & primary aluminium market dynamics across Australia, Guinea, US & India
The aluminium industry is entering another phase of supply-chain repositioning. Across bauxite, alumina and primary aluminium, companies are investing in new resources, consolidating strategic assets and expanding processing capacity, while governments are increasingly treating domestic supply as a strategic priority. The latest developments from Australia, Guyana, Guinea, Indonesia, the US and India point to a market where resource security, processing location and control over supply chains are becoming as important as production growth. At the same time, new trading mechanisms and changing investment patterns are beginning to influence how aluminium and its raw materials reach the market. Bauxite supply expands, but securing the right tonnes is becoming harder In Western Australia, VBX...
China's 22.87 Mt extrusion market faces a structural shift as 317 GW solar growth counters weak construction demand
The global aluminium extrusion landscape is undergoing a structural transition driven by industrial decarbonisation, global electrification, and the rapid deployment of clean energy infrastructure. Historically anchored by civil engineering and residential real estate, demand for extruded aluminium profiles in China, the world’s dominant manufacturing hub, is decoupling from traditional property sectors. Persistent structural weakness in China’s domestic construction market has slowed the consumption of conventional architectural profiles such as window frames, door sections, and curtain walls. Conversely, advanced industrial applications, specifically solar photovoltaic (PV) racking, battery energy storage systems (BESS), power grid modernisation, and electric vehicles (EVs), have...
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Alcoa is trying, but aluminium price hard to overcome
Alcoa shares have declined by a third since February. And things could have been worse, had it not made the changes it did. The aluminium maker's strategy, pursued over the past several years, has two planks. First, it wanted to make its core "downstream" aluminium production business more efficient. Second, it has expanded its manufacturing of end products for aerospace, automobiles and other industries. The shift has won plaudits. Yet the company still cannot fully shake off the effects of an aluminium price that is down 15 per cent in eight months. he production side of Alcoa mines bauxite to refine into alumina and smelts alumina into aluminium. The company has curtailed capacity and moved down the cost curve. And with the help of $US5 billion worth of recent acquisitions, its rolled...
Odisha Mining Corporation to apply for bauxite reserve
The state government has asked the state PSU Odisha Mining Corporation (OMC) to apply for prospecting licence of Sasubohumali bauxite reserve. The mine in Rayagada district has an estimated reserve of 81 million tonne bauxite. "Since the new Mines and Minerals Development and Regulation Act, 2015, has prescribed a different set of guidelines for allocation of mines to PSUs, the government has asked the OMC to apply for the mine again according to the guidelines," OMC managing director Girish S N told TOI. The state PSU applied for the mine a year back. Reservation of more bauxite mines in favour of the state PSUs assumes significance in the wake of acute shortage of the raw material for different companies. The one mtpa refinery of Vedanta Aluminium Limited (VAL) at Lanjigarh is facing...
Constellium partners with STELIA Aerospace and CT INGENIERIE to explore 3D printing groundbreaking application
Constellium N.V. announced today that it has formed a partnership with STELIA Aerospace, a world major player in the design and production of aircraft equipped fuselages and CT INGENIERIE, a leading engineering company in technological innovation throughout the product lifecycle, to engage in a research and development project called FAST, focused on topological optimization of aero structures and additive manufacturing, also known as 3D printing. The FAST project is an innovative solution using optimized design and technologies to make large aerospace structures and parts more efficient, cost effective and inventive than ever before. 3D printing offers more alternatives for the design and production of large aerospace components, such as the fuselage. With the existing available...
Rusal may sell Armenia-produced aluminum in Europe
Russian UC Rusal, the world's largest aluminum producing company, is able to restructure its logistics in order to sell in Europe the foil produced by its Armenian subsidiary ArmenAl if the European Commission moves to set a 34% duty on imports of Russian aluminum , head of Rusal packaging department Sergey Goryachev said. Russian newspaper Vedomosti said a representative of the European Commission did not comment on the company's plans. Earlier this the European Commission initiated an anti-dumping investigation against Russian foil, introducing late last week a preliminary duty of 12.2%, which will be effective throughout the investigation. If the investigation tracks down a dumping component in the prices of Russian foil producers, the import duty on Russian foil will be set at 34%,...
Hulamin shares tumble after company flags drop in interim earnings
HULAMIN, the maker of aluminium products, saw its share price drop by over 9% on Tuesday afternoon after the company said it expected interim earnings to drop substantially, as load shedding impacted production. Hulamin said manufacturing output in the first quarter fell sharply due to electricity supply curtailments and quality issues on two product lines. It said the installation of onsite supplementary generating sets had lessened the impact during the second quarter. "However, given the continuous nature of operations and the impact of a two week planned maintenance shut, it was not possible to make good the lost output and production volumes finished 17% lower than those achieved in the comparative period," the company said. In the six months ended June 2015, Hulamin said it expects...
AEC to discuss how extrusions are ‘Strengthening the Future’ at 2015 Management Conference
Details have been revealed for the Aluminum Extruders Council’s (AEC) 2015 Management Conference in Chicago, Illinois. The event is scheduled for Tuesday September 22 through Thursday, September 24, 2015 at the Hilton O’Hare Airport Hotel and features comprehensive education and networking opportunities for aluminum extrusion industry professionals. Rich in sessions focused on how the extrusion industry is “Strengthening the Future”, the 2015 Management Conference will feature business and industry speakers who will share their insights and knowledge on important issues that affect aluminum extrusion operations. The program is comprised of General Sessions, Focus Sessions and networking events, including a reception that features tabletop exhibits from AEC Supplier Members. Highlights...
Novelis showcases broad portfolio of flat-rolled products at Aluminum China 2015
Novelis, the global leader in aluminum rolling and recycling, demonstrated its industry leadership today at Aluminum China 2015 in Shanghai, displaying its full range of innovative aluminum solutions for the automotive, construction and electronics industries. Novelis’ premium products showcased at the exhibit include an aluminum body for Jaguar Land Rover; ColorisTM, pre-painted aluminum for façade and roofing; and eAQ52, anodized-quality 5052 alloy for consumer electronics. “As a trusted and strategic partner to both global and local customers, Novelis does not only provide high-quality aluminum products, we partner with our customers to provide innovative solutions,” said James Liu, Managing Director of Novelis China and Vice President of Automotive for Novelis Asia. “From design,...
Garmco and Fives to launch re-melt expansion project
GARMCO, the Bahrain-based international aluminum rolling mill and one of the largest downstream aluminum facilities in the Middle East, today announced the signing of a letter of intent with Fives, an industrial engineering group and supplier of machines, process equipment and production lines for the world’s largest industrial companies, to build a new state of art cast house at GARMCO’s Bahrain based facilities. The total cost of the project will reach up to $55 million. The Re-melt Project is an EPC (Engineering, Procurement & Construction) Turn-Key project, which will enable GARMCO to develop its metal recycling capability and lower the cost of metal casting. The project will run for a duration of approximately 21 months, starting September 2015. The first stage has already commenced...
Hindalco said to seek refinancing of $2.4 billion debt
Hindalco Industries Ltd., the Indian aluminum producer backed by billionaire Kumar Mangalam Birla, is seeking to refinance about Rs15,000 crore ($2.4 billion) of debt, people familiar with the matter said. The Mumbai-based company is discussing with banks about extending the maturity of the local-currency project loans to about 10 years, the people said, asking not to be identified as the talks are confidential. It may also be able to negotiate a marginally lower interest cost, the people said. Hindalco, whose total debt more than doubled in the four years ended March, is contending with mounting costs at a time when aluminum prices are falling. It is seeking to refinance under central bank guidelines announced in August, which make it easier for industrial firms to extend the tenor of...
Rio Tinto’s modernised Kitimat smelter begins production
Rio Tinto is preparing its first shipments of metal from its world-class Kitimat aluminium smelter in Canada following an extensive modernisation of the facility. The modernisation of the aluminium smelter will increase production capacity by 48 per cent and result in Kitimat becoming one of the lowest cost smelters in the world. Rio Tinto is now focused on safely ramping up towards its annual production rate of 420,000 tonnes. The modernised smelter, which was delivered in line with the revised schedule and budget, is powered exclusively by Rio Tinto’s wholly owned hydro power facility and uses the company’s proprietary AP40 smelting technology which will effectively halve the smelter’s overall emissions. Aluminium chief executive Alf Barrios said “The modernisation of Kitimat will...
EGA becomes Middle East's first manufacturer certified to ISO 2230
Demonstrating a deep commitment to sustainability and business continuity, Dubai Aluminium (DUBAL) - an operating subsidiary of Emirates Global Aluminium (EGA) - is one of the first industrial enterprises in the UAE to develop and implement a full Crisis & Business Continuity Management Systems; and in January 2015 became the first manufacturing company in the Middle East to achieve certification to the ISO 22301:2012 Business Continuity Management Systems standard (by LRQA). These milestones reflect EGA's commitment to implementing management strategies and processes that will identify and manage possible risk, emergency, crisis and business disruption events associated with all its business activities; and is in keeping both with the company's pioneering spirit and its quest for...
Rio 2016 Olympic torch made from recycled aluminium
The Rio 2016 Olympic torch has been unveiled by the Brazilian President Dilma Rousseff at a special ceremony, which took place in the capital of Brasilia on 3 July 2015. The torch is crafted from recycled aluminium and resin with a stain finish and has different segments which expand when the Olympic flame is passed from one torch bearer to another. These segments represent the soil, sea, mountains, sky and sun and are coloured according to the Brazilian flag – green, yellow, blue and white. Organisers said lightweight materials were used to improve the experience of the torchbearers, as well as a design that induces a grip closer to the torch’s centre of gravity. Beth Lula, the organising committee brand director, said: “The design of the Rio 2016 torch was inspired by the Olympic...
Chevy trash-talks Ford's aluminum trucks in new effort
The battle between the Ford F-150 and Chevrolet Silverado is headed for a cage match. Chevrolet is escalating the always-hot pickup wars this week with a social media campaign that takes a swipe at Ford's aluminum-body F-150. In a commercial created by McCann Worldgroup's Commonwealth agency and slated for online and possible TV play, focus-group members are asked which cage they would use for refuge when a grizzly bear lumbers into the room: one made of aluminum or another made of high-strength steel. Most scurry wide-eyed to the steel cage. For all the industry buzz leading up to the F-150 launch about Ford's big aluminum bet, Ford's marketing hasn't exactly flogged that point with consumers. Now, Chevy's tongue-in-cheek salvo brings the topic to the fore, raising the stakes -- and...
Greco aluminum railings expand architectural team
Greco Aluminum Railings, manufacturer of fully welded aluminum and glass railings, is pleased to announce a new member to its architectural team, naming Spohn Associates Inc. to represent its full product line of architectural railings in Indiana, Ohio and Kentucky. Greco is rapidly expanding in the United States and continues to bring on strategic partners to help promote its products to the architectural community. Spohn represents an extensive line of architectural products in Division 5,7,8 and 10. Established in 1976, Spohn is one of the largest independent architectural representative agencies in the United States. With a philosophy and focus on building and maintaining strong relationships with both the building product manufacturers and architects, the company represents some of...
Pakistan Aluminium Beverage Cans Limited moves ahead
Pakistan is a country with a population of just over 185 million and is the sixth most populous place in the world. Mainly a minimally tapped market by the foreign investors, it has shown steady growth in the last five years with 4 percent GDP growth seen in 2014 only. The middle class, as per local economists, make upto 25 percent of the total population, which is ready to explore new frontiers in consumer spending. According to various sources, sales of soft drinks were around three billion litres, which is forecasted to increase from 17 litres to 20 litres per capita by end of this decade. Major players in the beverage industry are gearing up to increase the production capacities with three large confirmed projects this year to cater for these demands. A wide range of beverage cans...
Millstar introduces aluminium milling cutter line
Millstar has introduced an aluminium milling cutter line for precise cutting tool solutions. Millstar, an industry leader in producing carbide mould tooling and carbide cutting tools, is a subsidiary of the Cole Carbide Family of Companies. The cutting insert line features modular screw-on heads, shell milling and end-mill cutters, with side clearance options offered, the Michigan-based company says. According to the supplier, this aluminium cutting insert line provides a variety of holding options, multiple insert sizes, a 90 degree option and back draft capability. The inserts are said to be effective in material removal during roughing operations, enabling a good finish. To demonstrate the line’s product performance and material removal efficiency, Millstar partnered with CNC machining...
Japanese aluminium industry looks to bridges to spur demand
Japan's aluminium industry will step up efforts to have the light metal used more in bridges and other infrastructure, taking advantage of new design standards to boost stagnant demand, the head of the metal's industry association said on Monday. Aluminium costs more than traditional steel and concrete but using the lighter metal makes repair work easier, cheaper and faster as it requires less reinforcement in foundations, leading to lower maintenance cost, according to the association. Japan's Society of Civil Engineers issued new design and production standards for aluminium structures in March, which should make it easier for the metal to be adopted as a construction material for bridges and floodgates, for example. "We've had a major breakthrough in the infrastructure field as we've...
Sapa keen to support heavy-truck segment with more aluminium solutions
The U.S. Environmental Protection Agency is proposing regulations to cut greenhouse gas emissions from heavy-duty trucks, requiring that fleet fuel economy rise to 24 percent by 2027. Sapa is a key supplier of aluminium solutions to the truck segment. The U.S. Aluminum Association points out that mass reduction using the light metal has emerged as a proven and cost-effective technology for achieving improved fuel economy and CO2 emissions performance in both light and heavy-duty vehicles. In heavy-duty vehicles, the weight and emission benefits that result from using aluminium are significant. Ricardo Consulting Engineers has conducted research showing that Class 8 commercial tractor trailers can improve fuel economy by as much as 5.5 percent for every 10 percent reduction in weight. The...
