- Write by:
-
Saturday, February 9, 2019 - 10:32:47 AM
-
1123 Visit
-
Print
Mining News Pro - The global aluminium market will see a number of deficits over the next few years as solid demand growth, driven by the construction and autos sectors, outpaces production growth, a new aluminium supply and demand outlook by Fitch Solutions reports.
According to Mining News Pro - The global aluminium demand outlook will benefit from solid construction industry growth and growing roles in autos as a lightweight substitute for steel. Fitch forecasts the global aluminium market to witness consistent deficits from 2019 to 2023, with the aluminium stock-to-use ratio declining steadily from 9.6% 5.1% over the same period.
The automotive and aerospace sectors will increasingly support aluminium demand in key markets, as an environmentally preferable alternative to steel. Fitch cites several significant deals between auto or aircraft manufacturers and aluminium producers highlight this trend over the past few years, such as Arconic`s multi-year supply deal with Toyota in 2017.
China`s aluminium production growth will slow down over the coming years, as the government`s push for consolidation and stricter environmental regulations brings higher-cost and less efficient capacity offline.
Fitch forecasts the country`s aluminium output to edge higher, from 34.3m tonnes in 2019 to 41.9m tonnes by 2028, averaging 2.4% annual growth, compared to an average annual rate of 11.7% growth over the previous ten-year period. Nonetheless, China will remain the driving force behind global aluminium production, accounting for over half of total output over the coming years.
Aluminium integration will continue in more regulated automotive markets such as the US, the EU and Japan, while developing markets will present further growth opportunities. While we expect this trend to continue over the long-term, rising aluminium prices will present near-term headwinds to the integration of the metal in the autos sector as carmakers look to keep costs down
While there are deficits ahead, the global aluminium demand picture will improve, driven by steady demand growth in Asia and the growing application of aluminium in the auto and aerospace industries. Fitch analysts forecast aluminium consumption to increase from 62.9m tonnes in 2019 to 79.7m tonnes by 2028, averaging 2.8% annual growth.
Short Link:
https://www.miningnews.ir/En/News/334884
Chinese carmaker BYD Co has postponed plans to produce lithium cathodes for electric vehicle (EV) batteries in Chile by ...
Copper futures in New York rallied to a record high after a short squeeze that’s prompted a scramble to divert metal in ...
China’s CMOC Group Ltd. is being accused by a top US official of using “predatory” tactics to depress prices of a key ...
A Native American group said on Tuesday it will take its fight against Rio Tinto’s proposed Arizona copper mine to the ...
Teck Resources Ltd expects to generate annual earnings before interest, depreciation, tax and amortization (EBITDA) of ...
The world’s largest zinc smelter is planning to significantly expand its copper output, taking advantage of growth ...
The state-run Chilean Copper Commission (Cochilco) will soon revise its copper price outlook, which will be considerably ...
Chilean mining giant Codelco is still working to meet its estimated output for the second quarter, CEO Ruben Alvarado ...
Australian-based Atlantic Lithium Ltd., which is developing Ghana’s first lithium mine, has taken a step toward raising ...
No comments have been posted yet ...