China Copper & Aluminum Summit: Transformation of Aluminum Industry -Shanghai Metals Market

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China Copper & Aluminum Summit: Transformation of Aluminum Industry

Data Analysis 05:13:29PM Feb 21, 2012 Source:SMM

SHANGHAI, Feb. 8 (SMM) – Aluminum markets experienced significant changes in 2011, and China’s aluminum output is expected to reach 21.89 million mt during 2012, with an annual growth rate of 12%, but the growth of aluminum consumption will slow. Aluminum capacity has been in severe surplus, and how to implement the macro-control policies is the main task during the 12th Five-Year Plan period.

According to the 12th Five-Year Plan for Aluminum Industry, China’s aluminum demand will grow by 8.6% annually during the 12th Five-Year Plan period, meaning aluminum may face serious oversupply.

China’s output of alumina, aluminum, and aluminum semis is in the leading position in the world, and apparent consumption of aluminum ranks the first in the world. However, compared with strong aluminum producing countries, China’s aluminum industry lags fairly far behind in terms of allocation of global resources, industrial concentration, technology and equipment levels, product competitiveness and technological innovation. Meanwhile, aluminum output accounts for 50% of total nonferrous metal output, while electricity consumed by the aluminum industry accounts for 80% of electricity consumed by the nonferrous metal industry and 5% of China’s total electricity consumption. The Chinese government has introduced the macro-control policies concerning aluminum and other high-energy-intensive industries since 2004, but the blind expansion of aluminum capacity continues, and domestic aluminum capacity even reached 23 million mt in 2010, with the capacity utilization rate only about 70% and aluminum capacity already in severe surplus.

China’s National Development and Reform Commission (NDRC) raised sales prices for electricity twice in 2011, exerting great pressures on aluminum smelters. Many aluminum smelters plan to build projects in West China, but whether or not the transportation capacity in West China can support the alumina transportation remains unknown. In addition, how will aluminum smelters deal with power restrictions given China’s energy conservation and emission reduction policy?

How will aluminum smelters deal with the challenges of rising costs and slowing demand during the 12th Five-Year Plan period? Enterprises from the aluminum industrial chain will come together to discuss the transformation and development of aluminum industry on the 7th China Copper & Aluminum Summit to be held on March 21-23.

SMM will discuss the transformation and upgrading of aluminum industry with industry experts and elite based on an international perspective on the China Copper & Aluminum Summit.

Contact: Katherine   Tel: +86-21-5155 0306
Mobile: +86-139-1653-9227   Email:katherinezhu@smm.cn  

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China Copper & Aluminum Summit: Transformation of Aluminum Industry

Data Analysis 05:13:29PM Feb 21, 2012 Source:SMM

SHANGHAI, Feb. 8 (SMM) – Aluminum markets experienced significant changes in 2011, and China’s aluminum output is expected to reach 21.89 million mt during 2012, with an annual growth rate of 12%, but the growth of aluminum consumption will slow. Aluminum capacity has been in severe surplus, and how to implement the macro-control policies is the main task during the 12th Five-Year Plan period.

According to the 12th Five-Year Plan for Aluminum Industry, China’s aluminum demand will grow by 8.6% annually during the 12th Five-Year Plan period, meaning aluminum may face serious oversupply.

China’s output of alumina, aluminum, and aluminum semis is in the leading position in the world, and apparent consumption of aluminum ranks the first in the world. However, compared with strong aluminum producing countries, China’s aluminum industry lags fairly far behind in terms of allocation of global resources, industrial concentration, technology and equipment levels, product competitiveness and technological innovation. Meanwhile, aluminum output accounts for 50% of total nonferrous metal output, while electricity consumed by the aluminum industry accounts for 80% of electricity consumed by the nonferrous metal industry and 5% of China’s total electricity consumption. The Chinese government has introduced the macro-control policies concerning aluminum and other high-energy-intensive industries since 2004, but the blind expansion of aluminum capacity continues, and domestic aluminum capacity even reached 23 million mt in 2010, with the capacity utilization rate only about 70% and aluminum capacity already in severe surplus.

China’s National Development and Reform Commission (NDRC) raised sales prices for electricity twice in 2011, exerting great pressures on aluminum smelters. Many aluminum smelters plan to build projects in West China, but whether or not the transportation capacity in West China can support the alumina transportation remains unknown. In addition, how will aluminum smelters deal with power restrictions given China’s energy conservation and emission reduction policy?

How will aluminum smelters deal with the challenges of rising costs and slowing demand during the 12th Five-Year Plan period? Enterprises from the aluminum industrial chain will come together to discuss the transformation and development of aluminum industry on the 7th China Copper & Aluminum Summit to be held on March 21-23.

SMM will discuss the transformation and upgrading of aluminum industry with industry experts and elite based on an international perspective on the China Copper & Aluminum Summit.

Contact: Katherine   Tel: +86-21-5155 0306
Mobile: +86-139-1653-9227   Email:katherinezhu@smm.cn