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Aluminum August 27, 2019 09:30:09 AM

Primary Aluminum Market Ended in Deficit

Paul Ploumis
ScrapMonster Author
The LME stocks dropped marginally in June this year, with major declines reported in Asian warehouses.
Primary Aluminum Market Ended in Deficit

SEATTLE (Scrap Monster): The January to June 2019 Metals Balances Report published by the World Bureau of Metal Statistics (WBMS) suggests that world aluminum market ended in a deficit of 492 kt during the initial half of 2019. This follows a deficit market of 713 kt recorded during the whole of 2018.

The overall global aluminum production witnessed marginal rise by 1.91%, compared with the first six months of 2018. The output by China totaled 17.431 million tonnes, accounting for approximately 57% of the global aluminum production during the six-month period. The EU production dropped by 2.4%, whereas the NAFTA output rose by 6.7% over the previous year.

The LME stocks dropped marginally in June this year, with major declines reported in Asian warehouses. The total reported stocks as at end-June ‘19 were 1,874.3 kt, compared with 2,429kt at the end of 2018. The combined stocks held by four main exchanges-London, Shanghai, USA and Tokyo registered decline by 538 kt from Dec ’18 closing level to total 1,414 kt at the end of H1 2019.

The primary aluminum production totaled 5,176.5kt in June ‘19, whereas the consumption totaled 5,338.0 kt.