WBMS Metals Balances Reveals Deficit Market for Primary Aluminum

SEATTLE (Scrap Monster): The primary aluminum market ended in a deficit of 344kt during Jan-May ’19, says the latest Metals Balances report published by the World Bureau of Metal Statistics (WBMS). This follows a deficit of 993kt recorded during the entire year 2018.

The overall global production of aluminum rose marginally by 2.2% in Jan-May ’19, as compared with the initial five-month period in 2018. The Chinese production, which totaled 14.458 million tonnes, accounted for approximately 57% of the total global production. The production by EU-28 countries edged lower by 2.5% over the previous year. The output by NAFTA region surged higher by 6.4% year-on-year.

The monthly primary aluminum production totaled 5,241.6 kt during the month of May this year.

According to WBMS, the total stocks of aluminum at the London Metal Exchange (LME) reported net increase in May, with increases in Asia offsetting the declines in Europe and the US. The total LME stocks were 2,079 kt. The combined stocks held by four exchanges in London, Shanghai, USA and Tokyo totaled 1,649 kt at the end of May this year.

The primary aluminum demand during Jan-May ’19 was 25.82 million tonnes, higher by 476 kt from the corresponding period in 2018. The Chinese apparent demand surged higher by over 9%, whereas the EU-28 demand stood lower by 18 kt over the previous year. The primary aluminum consumption totaled 5,482.9 kt in May 2019, said WBMS data.