GIA comprehensive global report on Bauxite and Alumina markets

GIA announces the release of a comprehensive global report on Bauxite and Alumina markets. The global market for Bauxite and Alumina is forecast to reach 211.3 and 76.2 million metric tons, respectively, by the year 2017. With global economy on the growth path post recession, both production and consumption levels are expected to display a positive trend, spurred by rising demand from aluminum end-use applications including automobiles, packaging and construction. Further, robust growth in developing markets of Asia-Pacific, Latin America and Africa will provide strong impetus for rapid expansion.

San Jose, California (PRWEB) March 22, 2012

Follow us on LinkedIn - Prevailing conditions in the aluminum market play a significant role in determining the demand for both bauxite and alumina markets. In the current scenario, the available bauxite resources fall short of the long-term requirements for aluminum manufacturers. However, leading aluminum producing countries such as China, US, Guinea, Australia and Brazil have sufficient reserves of aluminum and bauxite ores. In 2011, Australia, China and Brazil represented some of the leading countries, accounting for a major share of the global Bauxite production. Increase in output from new, expanded and reopened mines in China, Guinea, Brazil, Jamaica, and India lent weight to the overall bauxite production during the year.

China, Australia, Brazil and US ranks among the top producers of Alumina worldwide. A major part of alumina output in Australia and Latin America is utilized in metallurgical applications, while there has been a significant increase in non-metallurgical applications in recent times in major regions including Western Europe, Japan and North America. Worldwide, production of alumina is carried out mainly in Europe, Asia, America, Oceania and Africa. China dominates as the single largest producer of Aluminum in Asia. Alumina is primarily used for downstream aluminum production, generating leading to majority demand for metallurgical-grade alumina. The metallurgical grade alumina market witnessed steady, continuous growth over the years, with the exception of year 2009, when the market declined on account of the global economic crisis.

The worldwide economic recession adversely impacted and derailed the momentum of bauxite and alumina market. Several matured regions such as the US, Canada and Japan observed a fall in demand for alumina during 2008-2009 due to the closure of various aluminum smelters, and reduced output. Prices of the minerals also remained relatively flat during this period. The credit crisis that affected various parts of the globe led to a downfall in automobile manufacturing and home construction activity. This had a direct negative impact on the bauxite and alumina industry. The use of aluminum for various infrastructural projects in developing regions was dented and the refinery and mine expansion projects in various parts of the world were also halted due to the financial crisis.