Europe's aluminium industry is facing mounting pressure from rising carbon costs, shifting trade policies and limited willingness among buyers to pay premiums for low-carbon metal. Yet, despite a series of crises since the Covid pandemic, producers remain committed to maintaining their presence in Europe and investing in decarbonisation, said Paul Voss, Director General of European Aluminium. In an exclusive interview with Fastmarkets at Aluminium Düsseldorf, Voss described the European aluminium industry's condition as bruised but resilient. He highlighted concerns over the EU Emissions Trading System (ETS), the potential inclusion of indirect (Scope 2) emissions under the Carbon Border Adjustment Mechanism (CBAM) and the treatment of aluminium scrap in carbon accounting. Reflecting on...
The London Metal Exchange (LME) aluminium price graph depicted a faltering market picture. Declines over the November 2 close were reported across the pricing, contract, and inventory segments. The LME alumina Platts price remained stable at the session close. The LME aluminium cash bid as well as offer prices dipped by 0.42 per cent. The bid slipped to USD 3,081 per tonne from USD 3,094 per tonne, while the offer eased to USD 3,082 per tonne from USD 3,095 per tonne , down 0.61 per cent day-on-day. Explore: Most comprehensive and forward-looking industry-focused report — Global Bauxite & Alumina Market Forecast to 2036: Supply–Demand, Trade Flows & Price Outlook The LME aluminium three-month bid contracted by 0.64 per cent to USD 3,040 per tonne from USD 3,059.5 per tonne. The offer...
Grow with
AL Circle
Rusal, the world’s second largest aluminium company by primary production, has decided to step down from the aluminium trading joint venture in southern China, partly due to concerns over lower sales volume, said three sources with knowledge of the matter. Two of the sources also said that the Russian firm is hiring for its separate office in Shanghai. Rusal is now negotiating the sale of its stake in North United Aluminium (Shenzhen) to state-run partner China North Industries Group Corp Ltd (Norinco), said the sources on the condition of anonymous. Rusal had invested in North United Aluminium in 2012 but since then grown disappointed with low trading volume. However, a rebound in Chinese aluminium demand after the COVID-10 outbreak buoyed imports in July. Per the report, the unwrought...
Domestic primary aluminium producers in India, like Hindalco Industries and Anil Agarwal-led Vedanta Limited, are on their toes to bring down the country’s aluminium imports. They are working with the government at three levels – primary aluminium, secondary, and downstream products. Besides seeking trade remedial measures from the government, such as anti-dumping duty and anti-subsidy duty, the producers are working on new products. Satish Pai, managing director at Hindalco Industries, said: “We are involved in quite a few import substitution projects and are working closely with the government currently to put more defence alloys and aluminium material.” He pointed out that 60 per cent of the country’s total lightweight metal industry consumes those cheap aluminium imports. According to...
Aluminium Stewardship Initiative has acknowledged ALVANCE Aluminium Dunkerque with its Performance Standard certification for smelting and casthouse operation. The plant produces aluminium by electrolysis of alumina in the form of rolling slabs and ingots. The news came after ASI announced that it successfully certified the plant for responsible production, sourcing, and stewardship of aluminium. It is the large primary aluminium smelter in Europe. The ingots and slabs that it produces are destined for use in a range of value-added applications in the transport, automotive, packaging, building, and construction industry. The smelter produces over 284,000 tonnes of aluminium per year and employs almost 600 staff. Fiona Solomon, Chief Executive Officer at ASI, said: “We warmly congratulate...
According to a recent report, Jawaharlal Nehru Aluminium Research Development and Design Centre (JNARDDC), Nagpur has created Certified Reference Material (CRM) of aluminium metal for indigenous use, in line with the Government’s self-reliant initiative. CRM is used for quality control and for calibration of spectroscopic techniques. Usually, secondary aluminium is made of aluminium scrap recovered from various sources and used for manufacturing aluminium products mixed with other inferior quality products. This could be a threat to society as well as the industry. So, characterisation of elemental composition is an absolute necessary before melting or casting to ensure compositional prerequisite. CRMs are essentially required for cross verifying the methodology adopted. For having very...
Brazil’s largest aluminium producer Companhia Brasileira de Aluminio (CBA) has committed towards a science-based target (SBT) for emission reduction in line with 1.5° C, making it the foremost Brazilian organization to deliver sustainable-certified aluminium. The Latin American manufacturing giant possesses total annual production of around 480,000 tonnes and shoulders the complete aluminium production process, from bauxite mining to producing aluminium sheets and coils. As the aluminium industry is one of the world's biggest sources of industrial emissions with the International Energy Agency ranking the sector as the fourth-largest industrial CO2 emitter, responsible for around 3% of total direct CO2 emissions. However, CBA now joins a growing number of other aluminium producers...
The dollar dipped on Tuesday, August 25, as investors waited on comments from Federal Reserve Chairman Jerome Powell about the US central bank’s policy framework review, and after data showed improving German business morale. Three-month LME aluminium settled 0.51 per cent higher at US$ 1,779 per tonne on Tuesday. LME aluminium cash (bid) price and LME official settlement price, however, stood slightly lower at US$ 1733 per tonne, as of Tuesday, August 25. 3-months bid price and 3-months offer price came in at US$ 1773.50 per tonne, down by US$ 2.5 per tonne from US$ 1776 per tonne on August 24. Dec 21 bid price and Dec 21 offer price hovered at US$ 1850.50 per tonne. The LME aluminium opening stock continued to decline to 1567375 tonnes. Live Warrants hovered at 1342775 tonnes, while...
Primary aluminium production in West Europe rebounded in July 2020 by 10,000 tonnes month-on-month or 3.66 per cent to stand at 283,000 tonnes, found the International Aluminium Institute. In June 2020, the output in West Europe was 273,000 tonnes, declining 11,000 tonnes or 3.87 per cent from 284,000 tonnes in May 2020. On a year-on-year comparison, the production of primary aluminium in July 2020 stood down by 3,000 tonnes or 1.05 per cent from 286,000 tonnes. The total primary aluminium production in West Europe during May-July 2020 amounted to 840,000 tonnes, down by 2.67 per cent from 863,000 tonnes during the same period last year. Primary aluminium production in East and Central Europe during July 2020 also edged higher month-on-month from 340,000 tonnes to 349,000 tonnes. This...
Three-month LME aluminium settled 0.11% higher at US$1,770 per tonne on Monday. As of Monday August 24, LME aluminium cash (bid) price stands at US$ 1735.50 per tonne, LME official settlement price stands at US$ 1735.50 per tonne; 3-months bid price stands at US$ 1776 per tonne, 3-months offer price is US$ 1776 per tonne; Dec 21 bid price stands at US$ 1853.50per tonne, and Dec 21 offer price stands at US$ 1853.50 per tonne. The LME aluminium opening stock stood at 1572950 tonnes. Live Warrants totalled 1342775 tonnes, and Cancelled Warrants were 230175 tonnes. LME aluminium 3-months Asian Reference Price is hovering at US$ 1779.70 per tonne. SHFE Aluminium Price Trend Benchmark aluminium price for SHFE increased to stand at US$ 2126 per tonne on Tuesday, 25 August 2020. The most-liquid...
According to the Shanghai Metals Market, the A00 aluminium ingot price has recorded a rise of RMB 50 per tonne to stand at RMB 14,750 per tonne on Tuesday, August 25, following a downfall on the previous day from RMB 14,840 per tonne to RMB 14,700 per tonne. The average prices are expected to range between RMB 14,730 per tonne and RMB 14,770 per tonne, with spot contract to be traded at the same premium price of RMB 30-70 per tonne. Foshan has seen the highest growth in A00 aluminium ingot price today of RMB 80 per tonne to come in at RMB 14,770 per tonne, followed by an increase of RMB 70 per tonne in Linyi to stand at RMB 14,790 per tonne. The price in Chongqing and Shenyang has grown by RMB 65 per tonne and RMB 50 per tonne to hover at RMB 14,665 per tonne and RMB 14,740 per tonne,...
Sumitomo Corporation, Japan’s one of the largest global general trading companies, and a diversified corporation forecast that the Japanese aluminium premium to rise to $90 a tonne in the October-December quarter, from $79 this quarter, as industry demand and stock-financing deals return, as stated by a company manager on 14 th August’20. Japan stands as Asia's biggest importer of aluminium and the premiums it agrees to pay over the London Metal Exchange (LME) cash price each quarter for primary metal shipments set the benchmark for the region. The aluminium premium of Japan for July to September came to $79 a tonne, down 3.7% from the prior quarter as the COVID-19 pandemic disrupted manufacturing activity. Yasushi Miyachi, Manager of Sumitomo's light metals trading team, said: "But...
South32 is in talks with Eskom on a new pricing arrangement for Hillside Aluminium smelter. The company has entered into an interim arrangement with Eskom for power supply to the smelter for a 10 year period. “The smelter sources alumina from our Worsley Alumina refinery with prices linked to the PAX on an M-1 basis, while its power is sourced from Eskom under separate contracts for its three potlines. We have been engaging with Eskom on a new pricing arrangement for the smelter, agreeing a new tariff to cover power supplied for a 10 year period,” the company said. “The new tariff is South African rand based, with a rate of escalation linked to the South Africa Producer Price Index. While the new tariff is being considered for approval by the National Energy Regulator of South Africa, we...
China, the world’s top exporter of aluminium, turned net importer for the first time in July 2020 since 2009. The country’s aluminium imports during the said month jumped nearly sevenfold year-on-year to record the second-highest level, found China customs data. Arrivals of unwrought aluminium and aluminium products into China came in at 391,297 tonnes last month, the highest monthly total since April 2009, the General Administration of Customs said on Sunday, August 23. In April 2009, China had imported 440,000 tonnes, up 570 per cent from July 2019 and 35.5 per cent from 288,783 tonnes in June 2020. China’s import volume in July found higher than the export of 373,402.3 tonnes, showed the data. That means the country, by far the world’s biggest aluminium producer, emerged as a net...
The US dollar on Friday gained against the euro for the first week since mid-June after data showed a strong uptick in US business activity, while the single currency was held down as an August batch of European business surveys pointed to a stuttering economic recovery. Three-month LME aluminium settled 0.84 per cent lower at US$ 1,768 per tonne on Friday. LME aluminium cash (bid) price and LME official settlement price decreased by US$ 30 per tonne to US$ 1722.50 per tonne, as of Friday, August 21, following three consecutive rises from US$ 1733 per tonne to US$ 1755.50 per tonne. 3-months bid price and 3-months offer price stood at US$ 1761.50 per tonne, down by US$ 30 per tonne from US$ 1791.50 per tonne. Dec 21 bid price and Dec 21 offer price came in at US$ 1839.50 per tonne. The...
Vedanta has declined its aluminium products price after hiking the price of the same products on August 20. With effect from Saturday 22 August 2020, the prices of some aluminium ingots are in the range of INR 147,000-160,000 per tonne, marking a drop of INR 1,750 per tonne from INR 148,750-161,750 per tonne on August 20. With the latest decline, Vedanta’ billet now stands at INR 155,000 per tonne on August 22, a decrease of INR 1,750 per tonne from INR 156,750 per tonne on August 20. The Indian aluminium producers generally link prices of its products to the three-month futures of aluminium on London Metal Exchange. The three-month futures of aluminium are down by 4% so far due to slower global demand following the coronavirus outbreak. Vedanta Limited cuts its aluminium Cost of...
Rio Tinto filed renewal of licence this week for its Iceland Aluminium smelter (ISAL). However, the current operating license for the smelter at Straumsvík, near Hafnarfjörður, does not expire until 1 st November’20, as reported by the Environment Agency's website. In July, the company filed an official complaint against Landsvirkjun, the National Power Company of Iceland and nation’s largest electricity generator to the Icelandic Competition Authority (ICA), alleging "anti-competitive conduct, through discriminatory pricing and long-duration power contracts". Rio Tinto stated: "Landsvirkjun's supply contracts bind customers to long-duration terms, rendering it impossible for alternative energy suppliers to either enter the Icelandic market or expand operations.” Landsvirkjun has stated:...
On Friday, August 21, Federation of Indian Mineral Industries (FIMI) said the country should check its aluminium imports and make use of “rich and almost inexhaustible” domestic resources instead, in line with the government’s self-reliant vision. The domestic aluminium consumption is expected to reach 10 million tonnes in the next ten years (FY2031-32). So, to meet the demand, India needs to ramp-up the production of the metal and also its raw materials. Bauxite production should be targeted to increase from 23 million tonnes in FY19 to approximately 70 million tonnes by FY2031-32, while the output of alumina from 7.4 million tonnes to 20 million tonnes, said FIMI Vice President R L Mohanty at a webinar. India is "favourably endowed with rich and almost inexhaustible resources of...
China Hongqiao Group, the world's biggest private-sector aluminium producer, reported 4.1% decline in production in the first half as it moved smelting capacity to southwest China to make use of hydro-electric power, Reuters reported. The company said on Friday its production of aluminium alloy products - the term the company uses for primary aluminium production – stood at 2.741 million tonnes in January-June 2020. The decline in output was "mainly because the group relocated some production equipment to the Yunnan green aluminium innovation industrial park," the company said in a filing to the Hong Kong stock exchange. The company’s revenue declined by 3.6% to 39.94 billion yuan ($5.78 billion) in the first half of 2020. Net profit stood 14.3% higher year-on-year following lower...
According to the latest data revealed by the International Aluminium Institute, primary aluminium production in North America grew by 3,000 tonnes or 1 per cent in July 2020 to stand at 333,000 tonnes. In the month earlier (June), the output of primary aluminium in North America was 330,000 tonnes, declining by 16,000 tonnes or 4.62 per cent from 346,000 tonnes in May 2020. On a year-on-year calculation, North America’s primary aluminium production in July 2020 stood up by 11,000 tonnes or 3.42 per cent from 322,000 tonnes. During May-July this year, primary aluminium production in North America totalled 1.01 million tonnes, higher by 5 per cent than 962,000 tonnes of output during the same period last year. The latest data of the International Aluminium Institute also shows a...
