19 JULY 2011ainonline.com
Strong Aircraft Orders Seen Driving Aluminum Demand
Edited by : AL CIRCLE
1 min read
The flurry of new airliner orders in the first half of 2011, coupled with rising demand from other industries, has proved to be a boon to aluminum suppliers like Alcoa, which more than doubled its second quarter earnings in results announced on July 11. But subsequent stock market reaction, which saw Alcoa stock fall the next day, revealed how volatile the commodities sector can be.
Analysts interpreted a recent dip in aluminum prices as indicative that a period of high demand might be coming to an end. Alcoa doesn’t think so.
“Although the economic recovery is uneven, the overall outlook for Alcoa–and for aluminum–remains positive,” commented Klaus Kleinfeld, chairman and CEO of the U.S. group. “Demand for aluminum continues to rise and so does growth in our major markets. These factors support our projection that aluminum demand will grow 12 percent this year and will double by 2020.”
Analysts interpreted a recent dip in aluminum prices as indicative that a period of high demand might be coming to an end. Alcoa doesn’t think so.
“Although the economic recovery is uneven, the overall outlook for Alcoa–and for aluminum–remains positive,” commented Klaus Kleinfeld, chairman and CEO of the U.S. group. “Demand for aluminum continues to rise and so does growth in our major markets. These factors support our projection that aluminum demand will grow 12 percent this year and will double by 2020.”
Previous article
Kaiser Aluminum and Airbus reach long term agreement to supply aluminum plate and sheet
Next articleSEI’s Aluminum-Celmet To Make Electric Vehicles 300% More Efficient
Grow with
AL Circle
