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
SHFE aluminum to aeet strong resistance
SHFE 1609 aluminum will meet strong resistance and move at RMB 12,550-12,800/mt on Monday. Positive June manufacturing PMIs from major economies will push LME aluminum up to USD 1,650-1,675/mt. In China’s spot aluminum market, spot premiums of RMB 0-40/mt are expected over SHFE 1607 aluminum contract.
Aluminium poised near the range resistance
The MCX-Aluminium future continued to trade within the INR97-INR112 range for the sixth consecutive month. It is currently poised near INR112; the upper end of the range. If the contract reverses lower from here, it can then fall to INR105 and INR103 in the coming weeks. On the other hand, a strong break above INR112 can take the contract higher to INR115, which is a key long-term resistance. A strong break and a decisive weekly close above INR115 will reduce the possibility of a fresh fall . Such a break can take the contract higher to INR120 or even INR125 over the medium term. But, inability to break above INR115 can drag the contract lower to INR112. If the contract manages to sustain above INR112, a sideways move between INR112 and INR115 is possible for some time. But a strong break...
Vedanta seeks quick supply of bauxite in Odisha
With plans to raise alumina production at its Lanjigarh refinery in Odisha's Kalahandi district by 50 per cent, bauxite starved Vedanta today sought quick steps for raw material supply from within the state. "We plan to enhance production in Lanjigarh refinery from 1 million tonne per annum to 1.5 mtpa, a 50 per cent increase. It will help in raising overall aluminium output," said Abhijit Pati, Chief Executive Officer (Aluminium) of Vedanta Ltd. Around three million tonnes of alumina would be required in order to produce 1.5 mt of aluminium, he said adding that the company's move to increase production would enable Lanjigarh refinery would provide 1.5 mt alumina. Regarding the rest, Pati said the balance requirement would have to be met through imports. Though the refinery at Lanjigarh...
Alcoa to supply aluminium sheet under multi-year, $470 mln contract with Embraer
Lightweight metals leader Alcoa announced yesterday a long-term contract with Embraer – the leading manufacturer of commercial jets up to 130 seats – valued at approximately $470 million. Under the multiyear agreement, Alcoa will supply aluminium sheet and plate for Embraer’s new E2s, the second generation of its E-Jets family of commercial aircraft, a narrow-body medium-range jet airliner. The Embraer E-Jets E2 were launched at the Paris Airshow in 2013 and are scheduled to enter into service in 2018. “Our partnership with Embraer is rooted in constant innovation and this contract is further proof of that strength,” said Mark Vrablec, President of Alcoa’s Aerospace & Automotive Products business. “Our patented alloys enable us to support our customer’s game-changing E2 program, and we’re...
Total aluminium scrap recovery in the US reaches 292,000mt in April
According to the latest Mineral Industry Surveys data published by the USGS, total aluminium recovered from scrap in April 2016 was 292,000 metric tons (t), 3 per cent less than that recovered in March but the same as that in April 2015. Of this, 164,000 t of aluminium was recovered from new scrap, 3 per cent less than the amount in the preceding month but 4 per cent more than the amount recovered in April 2015. The amount of aluminium recovered from old scrap was 129,000 t, 3 per cent less than the amount recovered in the preceding month and 4 per cent less than that in April 2015.
US aluminium ingot price rises 2.58% MoM in April
Following recent smelter shutdowns, only two companies in the US reported domestic production of primary aluminium, noted US Geographical Survey in their latest issue of Mineral Industry Surveys. Consequently, beginning in February 2016, monthly production data were withheld to avoid the release of proprietary data. According to the latest Mineral Industry Surveys data published by the USGS, at the end of April, approximately 750,000 metric tons per year of capacity was operating at primary aluminium smelters in the United States according to public statements by the two companies that own the smelters. Prices and Stocks: The monthly average U.S. market price of primary aluminium ingot increased to $0.793 per pound in April from $0.773 per pound in March. The monthly average price...
US imports of alumina declines 48% YoY in Q1 2016
According to the latest Mineral Industry Surveys data published by the USGS, imports of alumina during the first quarter of 2016 were 262,000 metric tons (t), 6 per cent less than those in the fourth quarter of 2015 and 48 per cent less than those in the first quarter of 2015. The leading sources of imported alumina during the first quarter of 2016 were Brazil (27 per cent), Australia (34 per cent), and Jamaica (19 per cent). Decreased imports of alumina during the last 2 quarters were attributed to the shutdowns of several aluminium smelters in the United States. Exports of alumina during the first quarter of 2016 were 420,000 t, 32 per cent less than those in the fourth quarter of 2015 and the same as those in the first quarter of 2015, revealed data published by USGS. The leading...
US imports of crude and dried bauxite in Q1 2016 falls 35% QoQ
According to the latest Mineral Industry Surveys data published by the USGS, imports of crude and dried bauxite in the first quarter of 2016 were 1.51 million metric tons (Mt), 35 per cent less than those in the fourth quarter of 2015 and 45 per cent less than those in the first quarter of 2015. Jamaica (65 per cent) and Brazil (25 per cent) were the leading sources of crude and dried bauxite imports in the first quarter of 2016. Imports of crude and dried bauxite from Brazil and Guinea during the first quarter of 2016 decreased by 46 per cent and 86 per cent, respectively, compared with those in the fourth quarter of 2015. The decrease in bauxite imports was attributed to the temporary shutdown of Alcoa Inc.’s 2.3-million-metricton-per-year alumina refinery in Point Comfort, TX. The...
Wintec Aluminium simplifies specification of energy efficiency for Australian households
Wintec Aluminium Windows and Doors Australia has developed a wide range of functional and stylish WERS rated windows designed to meet the high demands for energy efficiency and weather performance. Utilising modern design, quality seals and hardware componentry, Wintec aluminium framed window and door products meet the high demands for energy efficiency and weather performance in today’s market. Window performance has become one of the most hotly discussed topics in virtually every residential and commercial project across Australia. The specification of energy-efficient windows has become a key element of sustainable design, with Tony Isaacs, the Principal Project Leader for Sustainable Energy Authority Australia singling out windows as “the make-or-break issue in achieving a good...
Automotive Lightweight Supply-Chain Symposium with Webasto Shanghai Plant Tour kicks off on July 11
The 4th Automotive Lightweight Supply-Chain Symposium will be kicked off on the 11th of July with a factory tour to Webasto Shanghai Ltd, one of the world’s biggest roof system suppliers. On return a reception party at the 5-Star Jumeirah Himalayas Hotel in Shanghai will provide a perfect setup for networking and interchanging. The lectures will begin in the morning of the 12th of July and continue on the 13th with 13 presentations in all, by national as well as international executives / experts from different kind of OEMs and Tiers. With multiple coffee / lunch breaks and a second reception party in the evening of the 12th of July, Networking and interchanging with the fellow attendees is at the forefront during the entire length of the symposium. When the symposium comes to an end, in...
Ardagh produces aluminium aerosol can for L’Oréal's Elnett
Glass and metal packaging company Ardagh Group has developed the new Elnett Crème de Mousse aluminium aerosol can for global beauty brand L’Oréal Paris. The 200ml can, in its familiar 'gold' coating, was produced by Ardagh at its specialist plant in Beaurepaire, France. Ardagh has produced Elnett brand products since 1960, and first launched the gold packaging in 1963. Marc Bettinger, sales director for aluminium packaging from Ardagh, explains, “We have been proud and privileged to produce the iconic Elnett aerosol since its launch over 55 years ago. "We are very pleased that the beauty of the distinctive gold metal gloss with the associated graphics is being continued on this important new range.” The female face and recognisable typography first appeared on the cans in 1964 under its...
HP uses aluminium and carbon fibre for its ultra-slim Spectre 13 luxury laptop
In a grand event, HP announced the ultra-slim Spectre 13 in India, and at just 10.4mm, it is the slimmest laptop in the world. It is made using carbon fibre and Aluminium with prices starting at INR 1.2 lakhs. The Spectre 13 hosts a series of unique technology features which essentially make it a one-off luxury buy. However, technicality aside, HP has made sure that the Spectre stands out with its design. The matte black carbon fibre and Aluminium body flaunts a bronze finish at the back, giving it a very jewellery like look. The use of carbon fibre and aluminium has also helped the gadget maker keep the weight of laptop significantly light- HP Spectre 13 weighs only 1.1 kgs. The HP Spectre definitely appeals to the masses with its wonderful design and an ultra slim profile, but its high...
Update: China Hongqiao buys Beihai Xinhe from CITIC for US$320 mln
The People’s Republic of China’s China Hongqiao Group Ltd., the world’s top aluminium producer by volume, announced that it entered into an agreement last week to purchase the entire equity interests of Binzhou Municipal Beihai Xinhe New Material Co., Ltd. for US$320 million. Beihai Xinhe’s equity interests were held by China International Trust and Investment Corporation (CITIC Group), a state-owned investment company. The firm has an alumina production capacity of 2 million metric tons per annum, and has a power production capacity of 240 megawatts. According to the announcement, an independent appraiser found the low appraisal value of Beihai Xinhe to be US$335,611,330.86 on the last day of 2015. The firm, which is a Chinese limited-liability company, was established August 24, 2011...
ALUMINIUM 2016 to host Recycling Pavilion to target scrap dealers and remelters
The organisers of ALUMINIUM 2016 have announced that the upcoming event will feature a Recycling Pavilion. In Hall 11, which primarily addresses the topics of primary production and recycling, the trade fair organisers have set up a special area with a themed pavilion where companies specialised in recycling exhibit their solutions for reclaiming aluminium scrap. The Recycling Pavilion targets scrap dealers, sorting line manufacturers, shredding plants, remelters and secondary aluminium vendors, to name but a few. So far registrations from the following exhibitors have been received for the Recycling Pavilion: • Bruker AXS Handheld (US) • Cast Aluminium (AE) • Cometel (ES) • DROSS Engineering (FR) • Gianni Mori Engineering (IT) • KMF Kärntner Maschinenfabriken (AT) • JMC Recycling Systems...
Nestle's Nespresso recycles aluminium from used coffee capsules for use in secondary market
Swiss food giant Nestle's Nespresso has come up with an innovative and somewhat unexpected solution to the environmental issue created by the growing waste volume of coffee capsules that are used at the workplaces and homes. They have taken to organic vegetable farming and aluminium recycling which happen to be the two main components of the two-pronged strategy. In Singapore, Nespresso has collected and recycled its used aluminium capsules since 2012, which are then sun-dried to separate the used coffee grounds from the aluminium. For the past two years, it has also partnered with local organic produce distributor Quan Fa Organic Farm to use coffee grounds as compost for farming. Mr Matthieu Pougin, country manager of Nespresso Singapore, highlighted that Singapore is the first country...
SHFE aluminium to hover at highs
Strike threat in Norway and falling crude oil supply in Venezuela allowed crude oil prices to stay at highs. LME aluminium has been rising for two consecutive days, nearing last week’s high, and should remain strong at USD 1,625-1,645/mt today. Tight supply in domestic spot market and strong LME aluminium will allow SHFE 1608 aluminium to hover at highs of RMB 12,350-12,500/mt. In China’s spot aluminium market, spot premiums of RMB 40-80/mt are expected over SHFE 1607 aluminium contract.
Chalco raises aluminium prices in major markets on June 30 after previous cuts
China Aluminum International Trading Co. (Chalco Trading) raised aluminium prices in major markets today after two consecutive days of cuts, it said on its WeChat. For details, please see the table below: Unit: yuan/tonne Note: Chalco Trading is a full subsidiary under Chalco responsible for alumina and aluminium sales.
Exploration of bauxite should be further encouraged, says Tom Albanese
Vedanta Ltd Group chief executive officer Tom Albanese, in a recent interview, said that the Government of India should take more initiatives in the mining sector and further encourage exploration of bauxite. While commenting on the winning of the first-ever auction of a gold mine in India in February and Vedanta's plans to initiate the process of exploration at the site, Albanese said the present NDA government is already doing a commendable job in boosting the industrial mining sector of the country. However, bauxite exploration needs further encouragement, he thought. "In the long term, we do need to find assured supply of captive bauxite for aluminium business from India. This is something we are working for over ten years and we continue to be working," Albanese said. "India is...
