Qatar’s aluminium export expected to be on the rise despite diplomatic tensions

Due to the major expansion of existing smelters and commissioning of new projects that primary aluminium production is increasing at a faster rate in the GCC countries. Qatar, a peninsular Arab country whose terrain comprises arid desert and a long Persian (Arab) Gulf shoreline of beaches and dunes is growing its aluminium capacity to be a net exporter of aluminium and aluminium products.

Qatalum or Qatar Aluminium is the sole aluminium producer in the country that exports its aluminium products globally. Qatalum is a JV between Qatar Petroleum and Hydro Aluminium of Norway and produces about 640,000 tons of high-quality aluminium products per annum.

As shown by our data, in the year 2015, the total aluminium export by Qatar was 530,822 tons. In 2016, the estimated export jumped to 571,077 tons. For 2017, the aluminium export by Qatar is estimated to be about 611,104 tons.

The estimated value of aluminium export was USD 1.2 billion and USD 1.23 billion respectively for 2015 and 2016.  In the year 2017, the value of export is estimated to stand at USD 1.3 billion in 2016.

Qatalum’s state-of-the-art cast house products are value-added extrusion ingots and foundry alloys supplied to a variety of industries including the automotive, construction, engineering and in the manufacturing of consumer goods.  Hydro has an offtake agreement with Hydro as the only seller of Qatalum Aluminium Products. ?Approximately 75% of all foundry alloy production of Qatar goes into automotive industry. Currently Qatalum exports to 30 countries and is aggressively developing market share for its premium aluminium.?

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Most of Qatar's aluminium exports goes to USA (115,705 tonnes), South Korea (96,879 tonnes) and Turkey (73,496 tonnes)

It is noteworthy that Qatar's Qatalum aluminium plant was facing outbound logistical challenges in June following a diplomatic row with neighbours in the Middle-East when Saudi Arabia, UAE, Bahrain and Egypt had severed diplomatic ties with Qatar and blocked shipments through their ports.  Hydro, one of the joint owners of Qatalum, said that Qatar Aluminium is now exporting metals via ports in Kuwait and Oman, as well as a Qatari container port.