US primary aluminium production plummets by 21% Y-o-Y during Feb’23

According to the US Census Bureau data, domestic primary aluminium production in February 2023 was 59,000 tonnes, reflecting a decline of 5,000 tonnes or 7.81 per cent month-on-month. In January, the US primary aluminium output was 64,000 tonnes, muted from the previous month.

On a year-on-year basis, the US primary aluminium output stood 16,000 tonnes or 21.33 per cent lower than 75,000 tonnes.

In two months of 2023, the United States produced 123,000 tonnes of primary metal, 21.66 per cent down from 157,000 tonnes during the corresponding period of the previous year.

The average daily production in February 2023 was 1,900 tonnes – 10 per cent less than 2,050 tonnes in January'23 and 28.84 per cent down from 2,670 tonnes in February'22.

Total aluminium recovered from scrap was 274,000 tonnes in February 2023, registering a drop of 4,000 tonnes from 278,000 tonnes a month ago and a fall of 10,000 tonnes from 174,000 tonnes a year earlier. Of the total scrap recovered in February, 148,000 tonnes of aluminium was recovered from new scrap and 126,000 tonnes from old scrap.

The February 2023 average US spot market price of primary aluminum ingot was $1.39 per pound, essentially unchanged from that in January 2023 and 24 per cent less than in February 2022. The average cash price in February 2023 of primary aluminum ingot on the London Metal Exchange (LME) was $1.10 per pound, 3 per cent less than in January 2023 and 26 per cent less than in February 2022.

Inventories of primary aluminum in LME-approved warehouses, including off-warrant inventories, in the United States were 3,624 tonnes at the end of February 2023, 39 per cent down from January 2023. Inventories of secondary aluminum (North American Secondary Aluminum Alloy Contract) in LME-approved warehouses, including off-warrant inventories, were 1,551 tonnes at the end of February 2023, 25 per cent less than at the end of January 2023.