AL Circle Analysis: Aluminium’s recycling economics, trade walls and carbon rules converge
The story of the aluminium industry is starting a chapter wherein scrap availability, recycling technology, trade policy, carbon costs and demand growth are becoming increasingly interconnected. From the US and Canada to Europe, India, New Zealand and China, recent developments show that the global aluminium supply chain is being reshaped on several fronts at once. These developments point to a changing aluminium business model: access to metal alone may no longer be enough. Quality of recycled feedstock, domestic processing capacity, carbon intensity, trade exposure and the ability to meet increasingly specific customer requirements could become equally important competitive factors. Join the fourth edition of the webinar “Hedging for recyclers - Become an expert in 6 hours” by Jorge...
Europe holds 10% of global aluminium extrusion demand, supported by Germany’s Constellium, France’s Hydro Extrusions & Italy’s Metra
Across Europe, aluminium extrusion has become closely woven into some of the region’s biggest industrial and construction markets. From automotive and transport to buildings and industrial applications, extruded profiles are finding demand across a wide range of sectors. This is reflected in Europe’s position in the global market: the region accounted for 12 per cent of global aluminium extrusion capacity, making it the second-largest regional contributor after China. At the same time, Europe represented 10 per cent of global aluminium extrusion usage, out of total global usage of 35.35 million tonnes . With production capacity and usage shares relatively close, Europe’s extrusion capacity and consumption are broadly at par. If we break down Europe’s 10 per cent share of global aluminium...
Grow with
AL Circle
“There is more to come in the Gulf as far as aluminium growth is concerned,” Mohammed Al Naki, the chairman of Arab International Aluminium Conference (ARABAL)
<p>Al Naki's relationship with aluminium dates back to 1968, when he was an officer in the Kuwaiti army. He was second in command of the Kuwaiti engineers and a member of the staff of the military college, but then he left the army and started his aluminium business. At that time it was a fabrication business manufacturing doors and windows.</p> <p><span id=":bl.co" class="tL8wMe EMoHub" style="text-align: left;" dir="ltr">Here’s an extract from the conversation with the man behind ARABAL, the main trade show and conference for the Middle East aluminium industry which is going to open its door to the domestic and the international aluminium fraternity from November 22 to 24, 2016. </span></p> <p><strong>AlCircle: How did your aluminium journey begin?</strong></p> <p><strong>Al...
“Now is the time for China to join the community of responsible global aluminum producers to fully and fairly participate in the aluminum market.” Charles Johnson, VP Policy at the Aluminum Association
<p>On September 29, 2016, <strong>Garney Scott, President & CEO of Scepter, Inc. </strong>and <strong>Chairman of the Aluminum Association</strong>, as well as <strong>Heidi Brock, President and CEO of the Aluminum Association</strong> testified at the <strong>U.S. International Trade Commission (USITC)</strong> public hearing on the <strong>Investigation on the Competitive Conditions Affecting the U.S. Aluminum Industry</strong>. They both drew attention to the challenges faced by the domestic aluminum industry due to flooding of Chinese aluminum in the U.S. market and urged the USITC to investigate the issue of unfair trading by China.</p> <p><strong>Charles Johnson</strong>, the <strong>Vice President of Policy at the Aluminum Association</strong> answered to AlCircle’s...
“We provide solutions for heat treating extrusion dies for aluminium extrusion companies,” Charbel Saliba, owner, Thermika Heating Systems
<p><strong>Thermika Systems Inc.</strong> is a leading manufacturer of heat treating solutions for industrial products. <strong>Charbel Saliba</strong>, became a young entrepreneur and over a decade was involved in various business ventures. About 10 years ago, he and a business partner were presented with the opportunity to venture into the heat treating industry. Working together Thermika was born. Currently, he is expanding his businesses, investing on it and supplying globally. As one of our valued associates AlCircle feels glad to highlight the kind of services Thermika has been offering to the Aluminium Extrusion industry. We had a brief discussion with Mr Saliba regarding Thermika’s products and its markets. <br /><br />Excerpts from the interview:<br /><br...
“Today JNARDDC stands at a point, where Indian Aluminium industry, can bank on us, for support guidance and innovation,” Mr. Anupam Agnihotri, Director, JNARDDC
<p><strong>Jawaharlal Nehru Aluminium Research Development and Design Centre (JNARDDC), Nagpur</strong>, India is a "Centre of Excellence" set up in 1989 to make contributions to the technological growth of the Indian Aluminium Industry. The centre has well-established R&D facilities for Bauxite, Alumina and Aluminium. <br /><br />We recently had an opportunity to meet <strong>Mr. Anupam Agnihotri</strong>, Director of this prestigious institution during the <strong>National Conference on Non-Ferrous Minerals and Metals’16</strong> at Jamshedpur. He was also facilitated during the conference for his contribution towards R&D in aluminium. He is a Metallurgical Engineer from IIT Kanpur with PG Degree in Metallurgical Engineering from the Visvesvaraya National Institute...
CBIX edges lower on Malaysian cargos
<p>CBIX declined 1.5 per cent over the week (US$0.7/dmt), closing at US$46.1/dmt, with lower ViU-priced Malaysian bauxite re-appearing to pull the index lower. This is despite the Malaysian bauxite mining ban being extended until at least mid-September. The recent Malaysian cargos come as a result of government-mandated clearing of existing mine stocks, as well material originating from other parts of Malaysia, rather than the signaling of a return to mining in the Kuantan region.<br /> <br />Industry participants in Malaysia are expecting the ban to be lifted on September 15, claiming that all requirements necessary to meet stricter operating regulations are now in place. These new regulations are likely to lift prices in Kuantan, as well as see further migration of mining...
Novel mobile ballistic test cell manufactured at Boldman’s aluminium profile system
<p>Modular aluminium profile manufacturer Boldman has developed a mobile ballistic test cell to increase efficiency and reduce costs in oil and gas industry testing. The cell uses a lot of the innovations that are used in Boldman’s existing large fixed cells, but has the added benefit of being movable, which many clients demanded as their testing locations were not always permanent.<br /><br />The maximum size the of the high pressure test cell is 6 m by 6 m by 4 m high and it will be used to test small assemblies up to 30 000 psi.<br /><br />The ballistic glass test cells are manufactured from Boldman’s aluminium profile system and specially manufactured safety glass, giving 360° visibility when testing oil and gas equipment. This visibility means companies testing their...
China’s aluminium exports fall again in July, was production cut back?
<p>One of the causes of falling aluminium prices over the past few years was the rise in China’s aluminium exports. But Chinese exports started to calm down this year, helping aluminium prices to recover.<br /><br />China exported 390,000 metric tons of unwrought aluminium in July, down 9.3 per cent from July of last year. Chinese aluminium exports have fallen around 7 per cent for the first seven months of 2016. Lower Chinese aluminium exports suggest stronger aluminium demand in China coupled with some supply cuts.<br /><br />According to the latest figures released by the International Aluminium Institute (IAI), Chinese aluminium production has now fallen on a year-over-year basis in five out of the last six months. For the first half, Chinese aluminium production has fallen by...
64% Chinese aluminium smelters see aluminium prices stabilize this week
<p>SMM surveyed 44 Chinese aluminium smelters about their opinions over aluminium price outlook. About 64 per cent of them expect SHFE 1610 aluminium to stabilize between RMB 12,200-12,350/mt and LME aluminium between USD 1,630-1,655/mt. Aluminium stocks in domestic five major markets continued growing on Monday, up another 7,000 mt from last Thursday. <br /><br />China’s investment, consumption and industrial value-added data all weakened, and financial data for July also pointed to declines. These will prevent aluminium prices from rising. SHFE 1610 aluminium has met resistance at the 5-day moving average, but found support at the 60-day moving average. <br /><br />Another 22 per cent expect SHFE 1610 aluminium to fall below RMB 12,200/mt and LME aluminium below USD 1,630/mt,...
LME aluminium to consolidate at highs next week, SMM expects
<p>Aluminium prices on the LME and SHFE will consolidate at current highs while searching for direction next week, SMM foresees.</p> <p>SMM sees ME aluminium between $1,630-1,680 per tonne and SHFE 1610 aluminium between 12,100-12,500 yuan per tonne. Low aluminium stocks in China will offer support to SHFE aluminium.</p> <p>Spot aluminium in east China market is expected to trade at premiums of 100-150 yuan per tonne over SHFE 1609 aluminium.</p>
Granco Clark supplies Whitehall Industries with Taper Quench and Precision Saw
<p>Whitehall Industries of Paducah, KY, has selected Granco Clark to supply a Taper Quench and Precision Saw.<br /><br />The taper quench will allow for isothermal extrusion while maintaining extrusion speed throughout the entire extrusion cycle without compromising product quality.<br /><br />Whitehall’s new Precision Saw has exceptionally close tolerances combined with highest levels of productivity, speed, accuracy, safety and ease of use.<br /><br />Founded in 1947, Granco Clark began manufacturing billet furnaces and has evolved into a worldwide, cutting-edge, single-source supplier and leading equipment manufacturer in the aluminum extrusion industry.<br /><br />With a proven track record of manufacturing the most dependable and durable equipment in the business, Granco Clark...
Ma’aden Aluminum Awarded ISO 9001:2015
<p>Ma’aden Aluminum, a joint venture of Saudi Arabian Mining Company "Ma’aden" and Alcoa, announced that its smelter & cast house has been awarded the ISO 9001:2015 which is the latest version of the accredited standard & specifications certificate of quality management published by the International Organization for Standardization (ISO).<br /><br /><img style="vertical-align: middle; display: block; margin-left: auto; margin-right: auto;" src="http://www.alcircle.com/uploads/images/Maaden.jpg" alt="News" width="500" height="334" /><br /><br />Eng. Abdulaziz Al Harbi, Ma’aden Aluminum CEO, highlighted that this achievement demonstrates Ma’aden Aluminium’s commitment to innovation and to meeting the changing needs and expectations of its customers....
India major aluminium scrap prices continue to stay flat; MCX aluminium down
<p>India major aluminium scrap commodities prices continued to stay flat on Tuesday, while aluminium futures prices at Multi Commodity Exchange settled down due to seasonally weak demand in top metals consumer China and concern that Beijing may not cut rates soon. <br /><br />The major aluminium scrap commodities continued to show a flat trend during Tuesday. India's major scrap commodities like aluminium accessories scrap, aluminium cable scrap, aluminium ingots, aluminium rod company, aluminium rod local, aluminium scrap 6063, aluminium scrap taint/tabor, aluminium sheet cutting, aluminium utensil scrap, aluminium wire scrap remained flat during the day.<br /><br />The most active August aluminium contract on Multi Commodity Exchange settled slightly down by 0.09 per cent to INR 109.60...
Granting China MES will be ‘catastrophic’, aluminium industry warns
<p>If the European Commission grants China Market Economy Status (MES) the consequences for the EU aluminium sector will be enormous, an industry group has said. The EU executive said last month that it would focus on new measures to tackle Chinese dumping and illegal subsidies, but won’t decide whether China’s economy is market-driven.<br /><br />MES is controversial because, if granted, trade partners will have to treat China as a free market equal when it comes to settling disputes.<br /><br />Gerd Götz, director general of trade association European Aluminium, recently said that the EU steel crisis has skewed the debate on China’s MES and distracted Brussels from other European industries, such as the aluminium sector, which could face the same fate.<br /><br...
Tianjin Zhongwang succeeds in rolling 7055 aerospace aluminium plate
<p>Tianjin Zhongwang, China Zhongwang’s subsidiary, has recently succeeded in rolling 7055 aerospace aluminium plates in different specifications, it said on its website today. <br /><br />The success, which is rare in China for now, will lay the ground for its production of 7055-T7751 product in the future. <br /><br />Domestic aerospace industry mainly adopts 7xxx aluminium alloy, such as 7075, 7050, 7150, etc., whose strength is not as strong as 7055 aluminium alloy.</p>
Abundant coal gives Xinjiang aluminium smelters competitive edge
<p>Aluminium smelters in Xinjiang, China’s major aluminium producing region, have been enjoying a competitive edge over their competitors in the rest of the country, thanks to abundant coal reserves there. <br /><br />Coal reserves in Xinjiang are estimated at 2.19 trillion tonnes, claiming over 40% of national reserves, Huatai Futures said.<br /><br />Aluminium smelting industry, an industry that relies heavily on power, is developing in full swing in Xinjiang, where aluminium capacity totals 6 million tonnes for now. <br /><br />Aluminium capacity in Zhundong Economic Development Zone, where China’s biggest coal mine is located, totals 2.4 million tonnes at present. Aluminium smelters in the economic zone are allowed to build captive power plants, with their captive power...
BURNDY announces aluminium lay-in lugs for solar panel applications
<p>BURNDY, a manufacturer and provider of connector, grounding and tooling solutions to multiple markets, announces new additions to its grounding product line. The aluminium lay-in lugs are most suitable for solar panel applications. The connectors are for use with frames with a maximum thickness of 1/4 in. They may also be used for cable to bus or cable to steel connections where the lay-in feature is necessary.<br /><br /><img style="vertical-align: middle;" src="http://www.alcircle.com/uploads/images/enduser%209.8.png" alt="News" width="463" height="240" /><br /><br />Manufactured using high strength aluminium alloy, these connectors have the versatility to be used with aluminium and copper conductors. The serrations are provided to establish better contact and cut through oxidation,...
68% Chinese aluminium smelters see aluminium prices stabilize this week, SMM survey
<p>SMM surveyed 44 Chinese aluminium smelters about their opinions over aluminium price outlook.<br /><br />About 68% of them expect SHFE 1610 aluminium to stabilize between RMB 12,100-12,400/mt and LME aluminium between USD 1,625-1,650/mt. Aluminium stocks in domestic five major markets stopped falling on Monday, up 8,000 mt from last Thursday. China Monetary Policy Report Q2 2016, released by the PBOC on August 5, weakened hopes for interest rate and RRR cuts. If SHFE aluminium keeps rising, prices will face short selling from aluminium smelters for hedging purpose. Despite positive non-farm payrolls, the US dollar index lost upward momentum after breaking through the 40-day moving average, which will give some relief to base metals prices. </p> <p>Another 25% expect SHFE 1610 aluminium...
Kazakh Aluminium Smelter seals six-year agreement for €3 MM
<p>Natural resources firm Eurasian Resources Group (ERG) has entered into an agreement with financial services firm VTB Group to finance a six-year aluminium supply worth an estimated €3 million (US$3.3 million).<br /><br />VTB Capital has reportedly already released an advance payment for the purchase of 660,000 metric tons for the life of the loan to supply Kazakhstan Electrolysis Plant (KEP) in Pavlodar. VTB Capital has already entered into additional long-term contracts for sale of the metal in question to end users.<br /><br />According to reports, the parties have developed a hedge strategy to protect them against potential drops in the aluminium market by fixing a floor for the sale of the metal in the contract. Accordingly, KEP will not sell below a particular price within...
