Novelis Inc. just broke ground on a rolled aluminum plant in China, its first.
“The plant under construction in Changzhou, in the Jiangsu Province, will have a capacity of 120,000 metric tons per year, further strengthening Novelis’ position as the world’s largest producer of aluminum sheet products used to create vehicle structures and body panels. Startup of the new facility…is planned for late 2014.”
Apparently there’s demand for this — which seems strange since, as we’ve reported before, China’s been fighting aluminum overcapacity issues. “We expect demand for automotive aluminum sheet in China to exceed the 25 percent compound annual growth rate expected across the globe over the next five years, as auto manufacturers strive for improved fuel efficiency and reduced emissions,” said James Liu, Managing Director for Novelis China, in the press release.
As for aluminum prices, the Indian aluminum cash price moved up 1.1 percent on Nov. 14, 2012, making it the day’s biggest mover. Chinese aluminum prices for billet, bar, scrap and cash transactions were flat for the day.
On the LME, the primary aluminum cash price gained 0.8 percent to finish at $1,944 per metric ton. On the LME, the aluminum 3-month price increased 0.6 percent to $1,960 per metric ton.