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American aluminum market is gaining momentum

On the London Metal Exchange aluminum prices continue to rise. This is kind of a spur for the US aluminum market. The vast majority of the raw material comes from Canada. Only in October 2014 import volumes increased to 268 thousand. Tonnes. In annual terms, this figure will be around 1.9 mln. Tons. Compared with the previous month, imports increased by 25%. Regarding the level of October last year increased by 17%. However, the Canadian aluminum shipments are prone to downward trend. Given the imminent closure of the aluminum plant Rio Tinto, Kitimat plant, in 2015 the volume of supply threaten to fall. The temporary closure of the plant is justified by replacing outdated technology with modern production processes. The factory is a leader in the production of rolled metal and primary aluminum. The planned modernization will allow the company to increase aluminum production to 420 thousand. Tons after the resumption of work.

Wanting to satisfy the ever-increasing demand for aluminum, US-based specialty alloys decided to produce a profitable investment. 11.2 billion. USD will be spent on construction of aluminum plant in the southeastern United States. Representatives of the company believe that the new production will annually produce 600 thousand. Tonnes of flat rolled aluminum. This product is intended mostly for the automotive industry.

Implementation of the new project will provide 2 thousand. Temporary jobs and 650 permanent, which will be available after the start of production. While the company does not report data on the location of the construction site for the future plant. Founder and CEO of the American company, Roger Boggs says that the replacement of steel in the automotive industry for lightweight metal creates an increased demand from manufacturers. For the organization of aluminum supply on a permanent basis US car manufacturers companies should prepare for the tough competition with Alcoa, Novelis Inc, Aleris and Wise Metals Group. According to preliminary calculations, the production processes at the new plant will begin in 2016. The first phase will be completed in 6 months.


According to the largest suppliers of aluminum, Japanese consumers are willing to buy metal at the price of 435−445 USD / ton in the first half of 2015. This figure is higher than the results of previous quarters by 4.8%.

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