The London Metal Exchange (LME) aluminium price chart recovered on the November 9 trading session, wish cash reporting nearly 1 per cent gain compared to the November 6 close. Longer-dated contracts and inventories, however, edged lower. The LME aluminium cash bid as well as offer prices gained 0.96 per cent day-on-day on November 9. The bid recovered from USD 3,115 per tonne to USD 3,145 per tonne. The offer price surged from USD 3,117 per tonne to USD 3,147 per tonne . 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 price reported a 0.33 per cent rise from USD 3,049 per tonne on November 6 to USD 3,059 per tonne on November 9. The offer...
Iran is expanding its domestic aluminium manufacturing capabilities through nanostructured anodising technology, developing specialised aluminium sheets and profiles for applications across aerospace, medical equipment, electronics and automotive industries. The initiative reflects a move towards higher-value aluminium products by improving the metal's surface properties and expanding its potential industrial applications. According to Pars Today, citing Mehr News Agency, an Iranian aluminium complex is using the technology to produce aluminium components with nanostructured ceramic coatings designed to improve resistance to corrosion and wear. The complex is also working on developing specialised aluminium standards and has so far established eight standards in this field. The...
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Aluminum Bahrain BSC (Alba)’s commitment to promote zero accidents across the organization received an impetus with the official launch of the Health, Safety & Environment (HSE) Week. Alba’s Chief Executive Tim Murray inaugurated the week-long event that begins on February 25 and concludes on March 4, 2013. Also present at the event were high officials from leading public and private sector establishments and senior officials from Alba including members of Alba Labor Union and employees. The HSE Zero Accidents Week has been organized with the specific objective of enhancing awareness of health, safety and environment related issues amongst employees and contract staff; encourage employees to make safety a priority; boost greater interaction between employees and management in upholding...
Due to the depressed market, profits of Chinese aluminium companies declined a lot in 2012. Chinese economic situation has been steady since 2013. But market analysts don’t have positive comments. Almost all of them said that aluminium price won’t come out of bear market in 1 or 2 years. The direct pressure of aluminium price comes from high inventory. From inside China, over supply situation is very tight. Until the first half of January, LME aluminium inventory was about 5.2 million tones. SHFE aluminium inventory was about 0.45 million tones, increased over 100% compared to 2012. Another reason for over supply is over capacity. Data from WBMS showed that the over production in global aluminium market from January to October in 2012 was 143,000 tonnes. Needs from real estate market...
Aluminum fell for a seventh session in London as commodities slid amid concern that the euro-area debt crisis might worsen, following an inconclusive election in Italy. The Standard & Poor’s GSCI Spot Index of 24 raw materials fell to the lowest since Jan. 17. China, the biggest aluminum consumer, is set to have a “significant” surplus of about 700,000 metric tons that is likely to be partly shipped in the form of semi-fabricated products, according to Goldman Sachs Group Inc. “There is selling across the board as there is so much uncertainty because of Italy,” Walter de Wet, an analyst at Standard Bank Plc, said today in a telephone interview. “The fundamentals are also very weak.” Aluminum for delivery in three months declined 0.5 percent to $2,027.50 a metric ton at 3:09 p.m. local...
One global aluminum smelting company asked two buyers in Japan, Asia’s biggest importer, for a 6.3 percent increase in the premium they pay over London Metal Exchange prices, three executives directly involved in the negotiations said. The company offered to sell aluminum at $255 a metric ton over the LME cash price for the three months through June, said the executives, who asked not to be named because the talks are private. They asked that the companies involved not be identified. Other producers have yet to make offers, they said. The proposal would be the first fee increase in two quarters and coincides with efforts by Japanese Prime Minister Shinzo Abe to end deflation in the world’s third-largest economy. The negotiations may be settled by the middle of March, the executives said....
US aluminium giant Alcoa has invested $20 million overhauling two electricity sub-stations powering its Wenatchee smelter in Washington State, USA. The overhaul was designed to minimise the risk of a power outage at the plant. The modernised McKenzie and Valhalla substations are owned respectively by Chelan County Public Utility District (PUD) and the Portland (Oregon)-based Bonneville Power Administration (BPA). However, the Chelan County PUD has used part of the funding it received from Alcoa to buy a share in the Valhalla substation, making it the primary electricity supplier for the Wenatchee smelter. Chelan PUD manager George Velazquez told the Wenatachee World website that both substations were now working and that they had to remain active throughout the overhaul process in order...
Citic Resources Holdings, the energy and metals arm of state-owned conglomerate Citic Group, will continue to look for acquisition opportunities but will pursue them in a "cautious" manner, its chief executive said yesterday. The company would not buy aluminium smelting assets because of a global oversupply of the metal and would only consider bauxite and alumina assets, chief executive Zeng Chen said. "The decline in the international aluminium price in recent years was due to over-expansion by Chinese smelters, whose output accounted for 40 per cent of the global total," Zeng said. "But aluminium demand is expected to continue to rise, with demand from automobiles being one of the driving forces." Zeng was speaking a day after Citic Resources announced a 38.8 per cent fall in operating...
A dispute between a regional utility and two aluminum smelters in western Kentucky over electric rates is getting an increasing amount of attention from Kentucky state officials. Gov. Steve Beshear sent a letter on Wednesday urging the presidents of Big Rivers Electric Corp. and its largest customer, Century Aluminum, to come to a compromise that preserves jobs and keeps electric rates from skyrocketing. A day previous, Democratic Rep. Jim Gooch of Providence filed a bill proposing to force a merger between Big Rivers and East Kentucky Power Cooperative. Earlier this month, a legislative panel postponed a vote on a bill that would allow the smelters to purchase electricity on the open market. Big Rivers said the utility continues to negotiate with the smelters. "I personally think we're...
Aluminum fell, capping the biggest weekly drop in 14 months, on signs that increasing output in China will add to a global glut. Global output increased 5.7 percent in January from a year earlier to 3.917 million metric tons, the International Aluminium Institute said Feb. 20. Chinese production surged 16 percent, the IAI figures showed. Production exceeded demand by 419,400 tons last year, figures from the World Bureau of Metal Statistics showed this week. “The high production is not helping reduce the supply surpluses on the global aluminum market, which are still reflected in high inventory levels,” Commerzbank AG analysts including Frankfurt-based Daniel Briesemann said in a report. “The high supply is likely to block any significant increase in aluminum prices.” Aluminum for delivery...
Metal shipments in 2013 decreased from last January’s levels at small single digit rates in both the United States and Canada. In January, 126,100 tonnes of aluminum products were shipped by US service centers, a decrease of 5.6% from the same month in 2012. Inventories of aluminum products were 366,400 tonnes at the end of January 2013, a decrease of 2.1% over January a year ago and an increase of 0.2% from last month. At the current shipping rate, this represents 2.9 months of supply in inventory an increase of 3.7% from a year ago. In January, 13,600 tonnes of aluminum products were shipped by Canadian service centers, a decrease of 3.0% from the same month in 2012. Inventories of aluminum products were 40,700 tonnes at the end of January 2013, an increase of 19.2% from January a year...
Local politicians warned of a jobs crisis on the island with confirmation that the Penhros plant will stop operations within two months, with 20 workers kept on until the site is sold. The Holyhead smelting operation shut in 2009 with the loss of nearly 400 jobs. The remaining 80 staffs have been at the plant as part of a decommissioning process and its re-melt business. The company said it had made "extensive effort" over the past few months to identify ways to make and save money to offset the "substantial losses" facing the business. Anglesey Aluminium - which started production in 1971 and was once one of the largest employers on Anglesey - started consulting with the workforce in December. It warned last week that there was a "strong likelihood" of it closing. Klaus Stingl, chairman...
China's aluminium inventories reached a record high this week, caused by rapidly growing supply and weak demand in the country, China Daily reported Sunday. The country's overall aluminium stockpiles climbed to 1.25 million tonnes Monday, almost double the level during the same period late year. On Jan 10, 2012, this stood at about 700,000 tonnes, analyst Li Xun was quoted as saying. Li told China Daily the excessive supply in China's aluminium industry will continue at least for the first half of the year. "The aluminium price will fall by 200 yuan ($32) to 300 yuan a tonne during this week," he said. "That is considered a dramatic price drop in the market."
The European Commission predicted last Friday that the euro zone’s economy will shrink 0.3% in 2013, down from its earlier forecast. The ongoing general election in Italy will add uncertainties to the European economy. As a result, the US dollar rose against the euro, causing LME aluminum prices to extend losses for a fifth straight day. Finally, LME aluminum closed at USD 2,047.3/mt, losing 5.37% in the week, and further declines are expected. Latest LME aluminum inventories increased 6,175 mt to 5,164,200 mt. Aluminum prices will drop further today. LME aluminum should struggle at USD 2,050/m and fluctuate in the band of USD 2,030-2,070/mt on Monday. SHFE 1305 aluminum contract is expected to open lower at RMB 14,920/mt, with prices between RMB 14,880-14,980/mt. In spot markets,...
Data from International Aluminium Institute (IAI) shows that global aluminium output in January fell to 3.867 million tonnes, 11,000 tonnes less than last month. The global aluminium output was 3.878 million tonnes in December 2012. IAI said that global aluminium output in Jan increased 211,000 tonnes compared to 3.656 million tonnes in 2012. Data from IAI shows that the daily average global aluminium output in Jan declined to 68,000 tonnes. The number in Dec was 68,300 tonnes after revise. Chinese daily average aluminium output in Jan was 56,800 tonnes, same as the number from last month. According to the data, Chinese aluminium output in Jan was 1.76 million tonnes, which is lower than 1.762 million tonnes in Dec.
On the demand side, the most recent numbers have been uninspiring for Aluminium, said Barclays in a report. In Europe, Japan and the US, data displayed sequential weakness in shipment levels into year-end, although an up -tick in regional premia in January, alongside some positive auto data in the US at least, may be suggestive of some improvement. In terms of China, weakness in local premia, a firmly shut import arbitrage window and rising stocks point to a surplus dynamic coming into play. Aluminium prices have spent the past month meandering around the $2,100/t level, displaying little sign of direction. Whilst macro sentiment has so far remained relatively buoyant in 2013, the general quality of fundamental data has done little to suggest that a tighter market balance is developing....
Century Aluminum Co reported a smaller quarterly loss on Thursday as its costs fell and said it saw a modest improvement in market conditions. The Monterey, California-based company, which operates aluminum plants in the United States and Iceland, said China's economy seems to have, at minimum, stabilized. Cost of goods sold fell to $301.1 million in the fourth quarter to Dec. 31 from $331.8 million a year earlier, when that figure included a $6.3 million charged related to the value of the company's inventory. Chief Executive Michael Bless said in a statement that each of the company's plants reduced its cost base in 2012. Century's net loss narrowed to $6.9 million, or 8 cents a share, compared with a loss of $31.1 million, or 35 cents, a year earlier. Analysts, on average, had expected...
The $80-billion aluminium market is starting to crack under the weight of finance deals that have locked up millions of tonnes of the metal as collateral in warehouses. For years, financial institutions have been buying physical aluminium and simultaneously selling futures. Stock financing is particularly attractive for banks and other such institutions, which have access to cheap funding to pay for the inventory. The strategy relies on the futures market remaining in a 'contango' structure, where the price of a futures contract tends to decline as it approaches the delivery date. The aluminium market, which was in contango for most of last year, whipped into the opposite structure, called backwardation, in December, when spot prices were at a $44/t premium to prices in three months'...
Due to the over speed of supply growing rate, Chinese main trade area’s aluminium inventory estimated to reach new high in record. This will intensify the over supply of non-ferrous situation in the world. According to research of four cities, the inventory of aluminium has risen to 1.11 million tonnes from 750 thousand tonnes a year ago. The analyst from our website said that 6 cities including Shanghai have a inventory of over 1.15 million tonnes. Data shows that the new capacity growth of northwest areas in China hasn’t been absorbed, which may affect aluminium price. In the last year, aluminium price in London has fallen 6.7%. Berkeley said on Feb 15th that the surplus of production compared to needs will increase to 1.82 million tonnes from 1.49 million tonnes in 2012. Chunhui Wang...
Fears that the US Federal Reserve may stop bond buying sooner than expected continued to negatively affect markets. Besides, February manufacturing PMI from the US and euro zone fell short of forecasts and US initial jobless claims rose again, increasing worries over global economic outlook. Against this backdrop, the US dollar index jumped to a high of 81.508, sending LME aluminum down to USD 2,070/mt and below all moving averages. Finally, LME aluminum shed 1.43% to close at USD 2,074.8/mt. Latest LME aluminum inventories increased 6,075 mt to 5,158,025 mt. The US dollar hat met resistance at high levels, which should help curtail losses of aluminum prices . LME aluminum should fall to USD 2,050/mt at the bottom and fluctuate in the band of USD 2,050-2,090/mt on Friday. SHFE 1305...
