Aluminum Oversupply Remains Key Challenge--Norsk Hydro

BAHRAIN, Sept. 25 -- The biggest challenge facing the global aluminum industry going forward is the large stock overhang, a senior executive of Norway's Norsk Hydro ASA (NHY.OS) said Tuesday.

Speaking at the Metal Bulletin aluminum conference in Bahrain, executive vice president Arvid Moss said there is "clear oversupply."

However he said the market, which saw demand collapse during the global economic downturn, was improving with consumption picking up.

The prospects still remain a little rocky, he added.

Aluminum is a key material used in the automotive and construction sectors.