more information Accept. Lindian Gets Guinean Government Go Ahead For Purchase Of 61 Percent Of Woula Bauxite Project, Aluminij Mostar Inks Aluminium Billet Offtake Agreement With Glencore, Rusal Earns A- Rating From Carbon Disclosure Product In First-Ever Evaluation. Get quick access to tools and premium content, or customize a portfolio and set alerts to follow the market. Erik Norland is Executive Director and Senior Economist of CME Group. In the Middle East, primary aluminium production increased by 4.35% year-on-year to 456,000 tonnes last month. Total exports of unwrought aluminum, including primary metal, alloy and semis, were 5.8 million tonnes last year, up 21 percent on 2017. The reason why China matters so much to aluminum is simple. Chinese official GDP has an even stronger correlation with aluminum prices up to one year in advance, but official Chinese GDP has been unusually stable of late, showing between 6.5% and 7.0% growth in each quarter since early 2015. In the July poll, analysts had expected a deficit of 88,000 tonnes next year. Within the BRIC economies, the growth of Indian demand has been a key contributor to growth. Demand from flat steel users has been particularly strong - for example, refrigerator production rose by 25.8% year-on-year. Press Release Europe Aluminum Market Demand and Supply, Production Analysis and Opportunity Assessment 2020 to 2025 Published: July 26, 2020 at 9:00 a.m. Production cuts in China and falling inventories indicating market deficits and seasonally higher demand towards the end of the year, did not manage to boost LME prices. Primary production decreased 2.2 percent from 2014 to 9.8 billion pounds. “The current demand downturn has the misfortune of being timed with the start of the strongest period for ex-China supply growth since the late 1990s,” said analyst Nicholas Snowdon at Deutsche Bank in London. Norsk Hydro predicts demand outside China will fall by 1-2%, meaning that global demand is likely to fall by 0.5%. Demand for aluminium in North America improved by 5.6% in comparison with 2014. He is responsible for generating economic analysis on global financial markets by identifying emerging trends, evaluating economic factors and forecasting their impact on CME Group and the company’s business strategy, and upon those who trade in its various markets. In September, China’s aluminium production fell 1.6% from a year earlier, following outages at two big smelters this summer: top producer China Hongqiao Group’s facilities were hit by flooding on Aug. 11, and Xinfa Group also closed pot lines due to an explosion a week later. While Chinese demand for aluminium alloy is booming, domestic supply has struggled to keep pace. Casting Alloy Aluminum Wheel Market Value Share, Supply Demand, share and Value Chain 2020-2027 December 10, 2020 sagar The global Casting Alloy Aluminum Wheel market is anticipated to rise at a considerable rate during the forecast period, between 2020 to 2027. This would not necessarily have much of an impact on the U.S. premium for aluminum, but it could depress European and Japanese prices further should a global aluminum glut develop. Don't miss a single update from Aluminium Insider. World primary aluminium production fell in September to 5.163 million tonnes, down 2.6% year-on-year and 3.12% on the month, according to the latest data from the International Aluminium Institute (IAI). The latest report added by DecisionDatabases on Aluminum Gratings Market covered many aspects of the current and future scenarios and a brief analysis of pre and post COVID-19 analysis. The company is comprised of four Designated Contract Markets (DCMs). Global mining production in 2017 was close to 60,000 metric tons, more than triple what the world was mining in 1994 (Figure 5). But the average is deceptive, because sharp gains for nickel of over 50% cover the fact that half of the metals are in the red, with losses of up to 15%. Parallel with new types of alloys new techniques of material shaping/designing are established and used. Aluminum isn’t an exception. It is essential to address a situation like Coronavirus in the present study. “With primary aluminum demand expected to fall 13% in the U.S. in 2020, a response from one of the major producers was what the market needed,” said Doug Hilderhoff, an analyst at CRU Group. And it is cheap. If China slows further and, if it devalues its currency, aluminum prices could risk taking a major slide. Mostar signed a five-year deal this week with British-Swiss firm Glencore plc for the supply... Russian Federation aluminium giant UC Rusal announced yesterday that it has received an A- rating in its first-ever assessment by... Base metals prices reacted positively to the progress registered in the latest round of US – China trade talks in mid-October, but the markets remained cautious about the prospects for a final agreement. In the Middle East, primary aluminium production increased by 4.35% year-on-yea… While the points above speak to demand (or lack thereof) for aluminium, the scale of the COVID-19 pandemic is broad enough to impact supply as well. He is also one of CME Group’s spokespeople on global economic, financial and geopolitical conditions. The London Metal Exchange index of six base metals inched up only 1% so far this year, held back by worries about a possible global recession and the trade war. The current aluminium price “is just high enough above cost of production” to allow smelters to launch or resume operations after shutdowns, AZ China’s Adkins said. © 2020 CME Group Inc. All rights reserved. Search our directory for a broker that fits your needs. New Delhi: Aluminium prices on Monday softened by 0.18 per cent to Rs 136.50 per kg in futures trade as speculators cut bets amid subdued demand in spot market. China’s gross domestic product growth slowed to 6.0% year-on-year in the third quarter, its weakest pace in almost three decades. "We sold 300 million more cans of beer in the first nine months of 2020 than we did in the same period in 2019 in the United States alone. SMM data showed that stocks across eight consumption areas in China, including SHFE warrants, decreased to 859,000 tonnes as of October 28. The Shanghai Futures Exchange aluminium price will maintain its upward momentum in the first half of 2021 due to strong demand before trending gradually lower in the second half of the year on increased supply, market participants and analysts told Fastmarkets. Bauxite Supply and Demand Fundamentals The aluminium industry is no longer as integrated as it used to be – pricing power is shifting upstream to alumina and bauxite producers. Protect your portfolio with Metals futures and options. The slowdown in key sectors such as the European car industry is putting the aluminum industry on course for annual demand growth of 1% to 2% this year, according to Wood Mackenzie. Create a CMEGroup.com Account: More features, more insights. China consumes 40-50% of the global aluminum supply each year. However, the latest forecasts indicate that the demand growth for aluminium will be between 0 and 1% y/y, while CRU Group predicts the market to shift into surplus in the fourth quarter with 185,000 tonnes, after deficits of 1.286 million tonnes in the second quarter and 467,000 tones in the third quarter. U.S. tariffs have raised U.S. aluminum prices but may be lowering prices elsewhere. Adkins also said this had been partly offset by the restart of China Zhongwang Holdings’ smelter in the north eastern province of Liaoning and a capacity addition by Xinfa in Guangxi in China’s south. The latter remains the main contributor to depressed markets and metal prices. China churned out 2.90 million tonnes of the metal last month, the National Bureau of Statistics said, down 2.5% from 2.973 million tonnes in August. Production of primary aluminium stood at 4.109 million tonnes in the first nine months of this year. U.S. aluminum prices soared between January and April in anticipation of the Administration’s 10% import tariff. By continuing to use the site, you agree to the use of cookies. Aluminium and other base metals prices are expected to be capped next year as weak economic growth weighs on the market, the latest Reuters poll showed (Oct. 28). One of the conclusions of the LME Week (held between October 27 and November 1) is that a combination of weak macroeconomic data and an anticipated increase of global aluminium supplies is prompting expectations that more metal will be held in financing deals for long-term gain. For aluminum prices, industrial demand is what counts. The main downside risk to U.S. aluminum prices could be a sudden removal of tariffs. Production amounted to 47.549 million tonnes in the first nine months of 2019, dropping 0.99% from 48.023 million tonnes in the first nine months of 2018. The bottom line is that there is enough aluminium whenever there is need for it. If the imposing of U.S. tariffs on China slows its economic growth or causes the country to devalue its currency, it could depress aluminum prices around the world. The latest move brings the billet premium to an all-time low. All future automobiles will need to satisfy stringent emission standards and the best way to do it with exciting technologies is toreduce their weight. Social inventories of primary aluminium in China continued to fall, as consumption remained robust. Chinese demand will be critical for the future direction of aluminum prices globally. Despite some encouraging signs, aluminium price has extended its weakness in October (4th quarter), trading in the range US$ 1696-1738/tonne. The premium for aluminium billets in Europe is holding onto the US$ 300 per tonne level, while in the United States, it fell to a record low on October 25, reflecting billet producers’ continued struggle to sell spot billets to extruders. “The story for 2020 is likely to be about the pace at which smelter cuts emerge to balance demand trends.”. World primary aluminium production fell in September to 5.163 million tonnes, down 2.6% year-on-year and 3.12% on the month, according to the latest data from the International Aluminium Institute (IAI). In the first nine months of 2019, China produced 26.37 million tonnes of aluminium, up 1.1% from a year earlier. The dispute over tariffs is continuing to impact markets across several asset classes, from equities to agriculture and metals. Compared to earlier polls, analysts significantly lowered their forecasts for the average aluminium price next year. Stream live futures and options market data directly from CME Group. 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