Primary aluminium production in Europe (incl. Russia) grows for the second month in Jan'24, connoting an ease of energy crisis

Primary aluminium production across Europe (including Russia) totalled 579,000 tonnes during January 2024, reflecting a rise of 3,000 tonnes from 576,000 tonnes in December 2023 and a hike of 5,000 tonnes from 574,000 tonnes in January 2023. The production improved for the second straight month as the energy crisis started easing, implied by the fact that European Commission softened the stringent policy of 15 per cent gas consumption curb. EU diplomats even said in recent statements that some countries view the policy as no longer necessary since the peak of Europe's energy crisis has passed.

Production in Russia and Eastern Europe

The primary aluminium production rise in Russia & Eastern Europe for the second consecutive month during January 2024 further underscores the fact that the energy crisis has eased in Europe. Although at a lower rate than in December 2023, the output in January 2024 grew to 348,000 tonnes, marking an increase of 3,000 tonnes or 0.87 per cent month-on-month. In December 2023, primary aluminium production stood at 345,000 tonnes, up by 13,000 tonnes or 3.92 per cent from 332,000 tonnes in November.  

The back-to-back growth in Russia and Eastern Europe's monthly primary aluminium production could also be attributed to the recovery of capacity utilisation at UC Rusal's Taishet smelter to about 37 per cent by December 2023.

On a year-on-year basis, primary aluminium output in Russia and Eastern Europe during January 2024 edged a rise of 4,000 tonnes or 1.16 per cent from 344,000 tonnes.

The daily average production in the said month was 11,200 tonnes, slightly up by 100 tonnes month-on-month as well as year-on-year.

Production in Western & Central Europe

In Western & Central Europe, primary aluminium production during January 2024 was 231,000 tonnes, unchanged from the previous month and 1,000 tonnes higher than in January 2023.

The production of primary aluminium stood restrained in the beginning of 2024, following a hike in December 2023 by 3.13 per cent from 224,000 tonnes.

The daily average primary aluminium output in Western & Central Europe during January 2024 was 7,500 tonnes, restrained month-on-month and 100 tonnes more than in January 2023.