Brazil reduces aluminum production
As follows from the data of the association «Abal», Brazil in August of this year, compared to the same period last year, reducing the volume of manufacture of aluminum by 7.8%. In particular, the aluminum in the volume of production during the period stood at 111.6 ths. Tons. In August 2012 the figure was 121 thousand. Tonnes. In general, for the first eight months of this year, compared to the same period last year, aluminum production in the country fell by 8.3% and reached 888.4 thousand. Tonnes.
Recall that in July, compared to June of this year, Brazil has reduced the volume of aluminum output by 8%. Volume winged metal produced in the country during this period amounted to 110.8 thous. Tons. In general, in the first seven months of this year, compared to the same period of 2012, the volume of aluminum output in Brazil fell by 8.4% and reached 776.8 thousand. Tonnes.
Earlier it was reported that according to the association «Abal», demand for winged metal in the country during the current year, compared with last year, increased by almost 4.1%.
Now, in view of the current situation of the financial markets and excess inventory, world aluminum prices going through hard times. Manufacturers respond to the fall in the value of the winged metal attempts to reduce the cost of production and scaling down activities in excess production capacity.
According to analysts, in the next year the price of aluminum on the world market will remain volatile and will fluctuate around 1.6−2.0 thousand. Dollars per ton. Meanwhile, experts do not rule out the probability of a sharp decrease in the cost of aluminum in 2014 in view of the fact that stocks will actively sell their reserves, and banks — to reduce the volume of transactions on the futures markets. But in the fast restoration of favorable prices for producers, it seems, the market experts do not believe: «The pressure on the value of the winged metal by excessive stocks accumulated during 2008−2009, the city can be minimized only for a few years, when their level will drop to the level of world consumption in four months. And only then can appear likely that the price be fixed at the level of the total cost of the most expensive producers of metal — in the area of 2.7 thousand dollars per ton, excluding premiums for physical delivery. «- Predict developments in the aluminum sector analysts.