WORLD CAPACITY AND MARKET REPORT -- ALUMINA AND BAUXITE

摘要

Primary aluminium demand remains strong, smelters are running at high levels of operation and metal prices have moved about 2000 dollars per tonne. The aluminium market is expected to remain firm in 2006 and the first half of 2007. Part of the strength of metal prices has been actual and expected cuts in production caused by high energy and alumina prices. The alumina market remains extremely tight, with spot prices over 500 dollars. The alumina market is expected to tighten further in 2006, with spot prices remaining above 400 dollars through 2006 and into 2007. Average contract prices are forecast at over 250 dollars/tonne for 2005 and 2006, well above normal in relation to the price of aluminium. There will be sufficient alumina for the expected level of smelter production, but stocks will be low and logistics will be crucial to keep smelters running.