According to the US Geological Survey data, the United States' primary aluminium production slightly rebounded in the third quarter, standing at 167,600 tonnes versus 167,000 tonnes in Q2. However, despite the sequential increase, the Q3 output volume was less than the Q2 production of 172,000 tonnes. Also, the output in Q3 recorded a year-on-year fall of 9.89 per cent from 186,000 tonnes.
Image Source: Alcoa Corporation
The above data indicates the sluggish trend in the United States' primary aluminium production prevails, primarily due to rising production costs. Companies like Alcoa cited higher raw material prices and overall economic pressures as key factors impacting their output.
In September 2024, the output was down by 2.5 per cent M-o-M, amounting to 54,600 tonnes versus 56,000 tonnes. Annually, the September output registered a decline of 9 per cent from 60,000 tonnes.
In total nine months of 2024, the United States produced 506,600 tonnes of primary aluminium, down by 19.3 per cent Y-o-Y from 627,000 tonnes.
The average daily production in September 2024 was 1,820 tonnes, unchanged from the previous month and down by 8.54 per cent from 1,990 tonnes.
Total aluminium recovered from scrap in the said month was 286,000 tonnes, down by 3.7 per cent M-o-M from 297,000 tonnes but higher than the last year by 4.4 per cent from 274,000 tonnes. Of the total aluminium recovered from scrap in September, 160,000 tonnes were recovered from new scrap and 126,000 tonnes from old scrap.
In the entire Q3, the United States' total aluminium recovery from scrap was 875,000 tonnes, marking a Q-o-Q fall of 2 per cent from 893,000 tonnes but a Y-o-Y hike of 5.7 per cent from 828,000 tonnes.
In the United States, the average market spot price of primary aluminium in September was $1.30 per pound, 4 per cent more than in August 2024 and 9 per cent higher than that in September 2023. The average cash price on the London Metal Exchange (LME) was $1.11 per pound, up by 5 per cent M-o-M and 13 per cent Y-o-Y.
Inventories of primary aluminium in LME-approved warehouses, including off-warrant inventories, in the United States were 9,997 tonnes at the end of September 2024, compared to 9,865 tonnes at the end of August 2024. Inventories of aluminium alloy (North American Special Aluminum Alloy Contract) in LME-approved warehouses, including off-warrant inventories, in the United States were 431 tonnes at the end of September 2024, nearly double (87 per cent) that at the end of August 2024.
