Aluminum investment across North America and Asia: Who leads reshaping the next phase of growth?
Aluminum investment has been spreading across the entire value chain, from primary smelting and alumina refining to recycling, rolling, extrusion and battery foil, building more integrated and higher-value supply chains. During the past 5 years, the US and Canada in North America and China in Asia have been grabbing headlines pertaining to the aluminum industry. These updates have involved growth stories or have shed light on volatile market situations. How have these headlines contributed to a greater picture for the benefit of the aluminum industries of the two continents? Between 2021 and 2026, major projects across North America and Asia have targeted new primary capacity, lower-carbon production, recycled aluminum and higher-value downstream products. But the investment pattern is...
AL Circle Analysis: From 13% costlier cans to 317 GW solar, aluminium trade enters new territory
As aluminium continues to draw the spotlight as a strategic variable in global trade rather than a merely traded commodity. Tariffs imposed at the border are now showing up in the cost of cans, auto components and downstream products, while high copper prices are encouraging manufacturers to redesign products around aluminium. Meanwhile, India is tightening protection around selected aluminium products even as domestic downstream manufacturers question the cost of protecting primary metal. China’s extrusion industry is adjusting to weaker construction demand by moving towards solar, batteries and other clean-energy applications. In North America, deeply integrated supply chains are confronting the consequences of suddenly changing tariff economics. To know the global production, demand...
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First Bauxite makes important company announcements
First Bauxite has announced that it has filed important company information which includes its audited year-end financial statements, management’s discussions and analysis for the year ending on September 30, 2014, and will be available on the company’s website. Another announcement was made which stated that there has been a change in the Chief Financial Officer where Daniel Crandall will be replacing Carlos Pinglo and will take effect starting December 31, 2014, along with the announcement that the company is now switching its financial year-end to December 31. The final announcement from the company revealed that incentive stock options for the purchase of up to an aggregate of 3,500,000 common shares of the company will be given to Mr. Alan Roughead, the Company's President and Chief...
Aluminium market rises on short covering, open interest drops 15.77%
Aluminium settled up 0.21% at 117.25 in thin trading but weak demand from top consumer China and a strong US dollar could put downward pressure on prices. Growth in China's economy is expected to slow to 7 percent next year from a forecast 7.3 percent this year, in part due to weakness in global economies, a top Chinese government think tank said on Monday. China's cooling economy, which grew at its slowest pace since the global financial crisis in the third quarter, has pinched the country's demand for copper imports this year. A slew of lacklustre economic indicators this month suggest full-year growth may fall short of Beijing's official 7.5 percent target for the first time in 15 years. The US dollar index closed Monday at 90.19, the highest since 2006, piling pressure on base metals...
LME to raise rental charges to offset the fast load-out rates
London Metal Exchange registered warehouses will be raising the average rental rates by 3.6% in 2015 which is double the increase of previous year and will help offset the impact of the fast clearing warehouse loud-out queues. LME warehouse owners had gained a lot of revenues by allowing long queues to form for the buyers looking for LME futures contract where some buyers had to wait more than a year. In a bid to rectify the long waiting times, LME had announced plans for reforming the system that enabled the linking load-in to load-out rates and assured that waiting times would not exceed more than 50 days. The system has taken effect and as a result a significant cut in the queues can be noticed but that has cut into the rental revenues of warehouse owners including global trade houses....
China aluminum semis exports rise 24.6% YoY in Nov. 2014
China exported 330,000 mt of aluminum semis in November, up 24.6% YoY. YTD exports through November totaled 3.18 million mt, up 12.2% from a year ago, customs data showed. The SHFE/LME aluminum price ratio fell to around 6.7 in October and early November, favoring exports. Extrusion exports jumped 23.69% YoY to 66,500 mt in November. Exports of plate/sheet and strip increased 28.93% YoY to 175,500 mt, and foil exports grew 18.08% YoY to 74,600 mt.
Aluminium bears can be vibrant in short term
The year ending is nearby and the prices of Aluminium have seen some sharp sell off, almost tarnishing the efforts of the bulls during the years. The situation during the year ending is making everyone juxtaposed for the future. The prices are crumbling as Aluminium has seen outperformances during the year due to physical tightness. On the other hand, the production numbers is worrisome. The production of Aluminium reached record highs in the month of November. Contrasting signs from US and China are on the radar of stakeholders. While US economy is recovering, Chinese economy is showing deterioration signs. However the only reason for the Aluminium markets to worry is the gains in the world Aluminium markets to all-time highs. World Aluminium markets showed gains in the production...
Lanka Aluminium receives SLS certification
Lanka Aluminium Industries PLC, the pioneer manufacturer of high quality aluminium extrusions in Sri Lanka was awarded the prestigious SLS certification recently. Lanka Aluminium is the very first aluminium extrusion manufacturer in the country to have received the SLS certification for some of its products. The company is also ISO 9001:2008 certified. The company manufactures aluminium extrusions both in anodized and powder coated finishes which is the current standard for architectural applications. Lanka Aluminium maintains consistent quality in the anodizing and electro colouring plant utilizing German technology and Henkel’s proprietary colour systems. The all-important sealing process is tested for each and every batch to ensure consistent quality. The anodic coating thicknesses are...
Cadillac CT6 could feature aluminium body
According to new reports, the upcoming Cadillac CT6 luxury sedan could feature a complete aluminium body to ensure it weighs as little as possible. All up, Automobile Magazine believes that the Cadillac CT6 will weigh about the same as the CTS despite being larger and featuring a plethora of new technologies and driving aids. As a result of this, there are suggestions that it will rival the Mercedes-Benz CLS, BMW 6-Series and Audi A7 despite previous reports suggesting that it will be a direct rival to the Mercedes-Benz S-Class. From an engine standpoint, the Cadillac CT6 will reportedly make use of the new General Motors family of four, six and eight-cylinder engines. A performance oriented Cadillac CT6 Vsport has reportedly been approved for performance with a CT6-V also looking like to...
Ford F-150’s new ad highlights the truck's strength more than its fuel-efficiency
Ford will unleash the ads for its new F-150 on the last day of the year and it will be displayed during the College Football Playoffs which starts off on December 31. However, the campaign will be highlighting the strength factors of the car rather than its fuel efficiencies. The short ad blitz focuses more on the toughness and lightweight of the truck rather than its fuel efficiency attributes. Ford is working on a television commercial that will highlight the 5 to 29% improvement that can be achieved through the model being 700 pounds lighter. However, that ad will not be ready in time for the grand debut planned by Chantel Lenard, the director of U.S. marketing in Ford. Ford has already invested a lot of time and money in this project, not to mention put the reputation of its most...
China bauxite imports down 51.59% YoY in Nov. 2014
China’s bauxite imports were 2,569,176 mt in November, down 51.59% YoY, but little changed from October. YTD imports through November totaled 33,033,154 mt, also down 49.25% YoY, customs data showed. Inbound shipments from Australia dropped 16% MoM, while those from India and Malaysia increased 29% MoM and 6% MoM, respectively. The average CIF price of imported bauxite held at USD 57.8/mt in November. The CIF price of Malaysian bauxite was USD 51.2/mt, USD 0.6/mt below that of Indonesian bauxite in November 2013.
Brazil's aluminum imports up 300% in Jan-Sep
Brazil imported 306,400t of primary aluminum in the first nine months, up 292% from 78,100t in the year-ago period, according to national aluminum association Abal. In terms of value, the country's primary aluminum imports totaled US$686mn in the period, a 279% increase from US$181mn in January-September 2013. Imports of finished and semi-finished products reached 136,100t, for a total of US$733mn, compared to 123,000t and US$717mn last year, Abal said. Aluminum scrap imports totaled 40,500t, worth US$69mn, up 78.4% and 97.1%, respectively. Aluminum's low price on the international market and Brazil's high energy costs are major factors behind the country's shift from leading aluminum exporter to net importer of the metal in 2014.
Nalco shows growth in mining as per government reports
The report released by the Ministry of Mines reveals that during the 2013-14 period, Nalco has achieved highest ever production in their bauxite mines and alumina refinery since their inception. A total of 62.93 lakh metric ton of bauxite was transported while 19.25 lakh metric tons of alumina hydrate was produced during this period. Besides their achievement in their mining sector, there have also been gains in the power generation with their Captive Power Plant (CPP) generating 4,989 mu of power in addition to the 150 mu of wind power generated by the company. They have also opened a second wind power plant in Jaisalmer in January, 2014 that can generate 47.6 mw of power. Moreover, Nalco has also sold 32, 77,000 of its shares to its employees as per their employee offer scheme initiated...
WCFE hires Tim Fass to oversee their Custom Aluminium Fabrications
West Coast Florida Enterprises (WCFE) is proud to welcome Tim “Opie” Faas to their team. Faas will be overseeing the company’s newest division, Custom Aluminum Fabrications. Vice President of WCFE E. Scott Otey says Faas is helping the company expand its services. “We have always “dabbled” in custom aluminum fabrications, but with Tim, WCFE will be ready to provide a vast array of custom fabricated aluminum and ornamental specialties, including – but not limited to – railings, shade structures, stairs, cladding and much more!” Faas was formerly the owner and president of Concepts in Aluminum, a southwest Florida aluminum fabrication company. He brings with him more than 30 years of experience, plus plenty of specialty equipment, that will directly benefit WCFE customers. Originally from...
Chief University introduces Aluminum Damage Analysis and Repair Technology course
Chief University, the training arm of Chief Automotive Technologies and Elektron, has introduced Aluminum Damage Analysis and Repair Technology. This one-day class covers aluminum forming methods and metal characteristics, as well as damage analysis, repair decisions and techniques for working with vehicle components made of aluminum. This course is designed specifically for insurance professionals and technicians who want to broaden their understanding of vehicles made with aluminum, and techniques for repairing these vehicles. A two-day aluminum welding course is in development. “At Chief University, we are continuously updating our course offerings to help collision repair technicians and insurance professionals keep up with the vehicle structural changes that are taking place at an...
Aluminium up 0.3% on global cues, spot demand
Taking positive cues from overseas markets and rising spot demand, aluminium futures prices rose by 0.30% to INR 117.35 per kg today as traders created fresh positions. At the Multi Commodity Exchange, aluminium for delivery in current month moved up by 35 paise, or 0.30%, to INR 117.35 per kg, with a business turnover of 200 lots. Metal for delivery in January 2015 contracts rose by a similar margin to trade at INR 118.25 per kg in business turnover of 67 lots. Market participants said besides rising demand at domestic spot markets, a firming trend in metal at the London Metal Exchange (LME), helped aluminium futures to trade higher.
Aluminium recovers from a six-month low to boost the Chinese economy
The ever slowing Chinese economy can find respite in the recovering aluminium prices that have rebounded from its six-month low prices with the prospects of a positive spur in the economic growth of the world’s biggest consumer of the metal. On Sunday the aluminium prices in London had dipped to its lowest since July 17, which recovered by 0.6% on Monday. The final reading for HSBC Holdings and Mrkit Economics’ manufacturing purchasing managers’ index for China is due to release on December 31 and is suspected to be around 49.5 signifying contraction. “In the short-term, the market will be looking at how the Chinese government will take action,” to stimulate the economy, said Tetsu Emori, a senior fund manager at Astmax Asset Management Inc. in Tokyo. “Now might be a good time to take...
China primary aluminum imports plunge 87.19% YoY in Nov. 2014
China’s primary aluminum imports dived 87.19% on the year in November 2014, due to unfavorable SHFE/LME arbitrage and rising premiums overseas, Shanghai Metals Market understands. Inbound shipments were 4,904 tonnes in November, and imports from January through November totaled 265,800 tonnes, also down 10.01% from a year ago, customs data showed. Primary aluminum flows into China partly through re-export and partly under tolling trade. Falling margins have sent import volumes under tolling trade down this year.
China alumina imports surge 63% in Nov. 2014
China’s alumina imports soared 63% month-on-month to 443,327 tonnes in November 2014, customs data showed. SMM attributes the growth to winter stocking by domestic aluminum smelters, tight domestic supply, and bullishness over alumina prices. Brazil and Venezuela were major contributors to the growth in import volumes, shipping a combined 147,000 tonnes to China. The price advantage of Brazilian and Venezuelan alumina stimulated Chinese buyers to step up imports, SMM understands. The CIF prices of alumina from Brazil and Venezuela were $357 per tonne and $347 per tonne, respectively, lower than $362 per tonne for Australian alumina and $374 per tonne for Indian alumina.
Andritz MeWa re-engineers proven machinery for recycling
Andritz MeWa of Germany is in the process of 'fully re-engineering' its first recycling machines, such as its flexible UG granulators which have been fitted with a pendulum-type compactor that is said to feed the material to the cutter much more efficiently and with less risk of faults, thus providing more uniform and higher throughput. The UG series comprises the UG 600, UG 1000, UG 1600 and UG 2000 granulators and is built to size-reduce everything from e-scrap and oil filters to plastics and aluminium. The design is claimed to reduce wear as a result of less strain on the cutter and blades. Some of the machines in the 1600 and 2000 size range have already been fitted with pendulum pushers over recent years. 'The results obtained in operation were highly satisfactory so now this...
