German aluminium association sees drop in aluminum production

Germany's aluminium industry association Gesamtverband der Aluminium industry reported a decrease in aluminium production during the first quarter of 2012. Andreas Postler of GDA explains that this was expected and identifies the reason in the "weaker surrounding general economic conditions and the high initial levels coming from the previous year”. To recall, GDA reported a relatively good year in 2011, with a volume of 401,300 t, despite the slight decrease of 1% compared to 2010, which was attributed to technical factors and the trend towards lighter packaging and thinner foils, making deliveries smaller.

During the first quarter, production of raw aluminium saw a slight decrease of 1% at 268,649 t, from last quarter. At 101,787 t the production of primary aluminium smelters was down 6%. However, secondary smelters saw an increase of 2% to 166,862 t.

Semi-finished aluminium products declined by 5% to 610,309 t, compared to Q1 2011. From the same period in 2011, aluminium finishing also decreased by 2.9% finding itself producing only 92,301 t.

Despite the general decline, the association remains positive about the rest of 2012 and expects demand to rise – partly as a result of German manufacturers' competitive edge, but also due to advantages linked to specialisation. To increase demand, GDA banks on developments in markets such as automotive, construction, packaging as well as the good utilization of capacity. The association also expects the international trade fair "Aluminium 2012" in Düsseldorf in October 2012 to give a boost to the industry.