Global Aluminum Demand Seen More Than Doubling Over Decade -Nikkei

TOKYO, June 24 -- Global demand for aluminum will reach 74 million tons in 2020, more than double the 2009 figure, the Nikkei reported Thursday, citing projections released by the Japan Aluminum Association.

Chinese demand is expected to triple to 43.6 million tons, in part because of a larger automobile market, with the nation's share of the worldwide total growing from about 40% to roughly 60%. Demand in other markets is forecast to increase about 50%.

Meanwhile, global aluminum production capacity is seen growing only about 50% from the projected figure for 2010 to 66 million tons in 2020. Depending on the number of old production facilities that are shut down, supply could fall more than 10 million tons short of demand, according to the association.

Japanese demand for aluminum is forecast at 2.4 million tons in 2020, equaling the record high marked in 2007. Because it relies almost completely on imported ingots, Japan faces the need to acquire more rights in overseas aluminum projects and step up recycling activities.