CRU: Aluminum news roundup

Meanwhile, primary production in Canada totaled 272,312 t in November, representing a daily rate of 9,077 t and an annual rate of 3.32 Mt. This is more stable compared to previous months, with the annual rate in November 2023 being 3.36 Mt.

Among the recent developments in the region, Rio Tinto announced plans earlier this year to invest $165 million in anode production at its Grande-Baie smelter to maintain anode supply to the plant. Furthermore, Rio Tinto and Alcoa made further announcements on the development of industrial-scale demonstrations of ELSYIS. Rio Tinto will install carbon-free aluminum smelting cells at its Arvida smelter in Québec, Canada, using the first technology license issued by the joint venture between Rio Tinto and Alcoa.

US Midwest premium jumps higher before year-end

In what will likely be the last major move of 2024, the US Midwest premium moved higher week over week and is trading between 22.4–22.6 ¢/lb. This was likely the last leg of the upside momentum built following the comment by President-elect Trump regarding potential tariffs on Canada and Mexico.

On the horizon, the potential for another port strike is brewing. The International Longshoreman’s Association union is representing dock workers in ports on the East and Gulf Coasts. Any extended strike would add to ocean freight and support higher premiums throughout the first half of the new year. The workers had previously gone on strike earlier in 2024 but agreed to continue working until Jan. 15 while negotiations continued.

Some EU countries push for aluminum to be included in sanctions, Reuters reports

According to an article published by Reuters earlier this week, 10 EU countries have proposed further sanctions on Russian trade, including its output of metals such as aluminum. The information is sourced from a letter sent two weeks ago and viewed by Reuters. The letter involves Poland, which will assume the presidency of the EU in January, succeeding Hungary, a country that has opposed the idea. The initiative is also backed by Denmark, Czech Republic, Ireland, Estonia, Latvia and Lithuania. Sweden, Finland and Romania also back the proposal, Reuters added.

The European Commission is expected to propose a package of sanctions in the second half of January, with the aim of passing it in February to mark the third anniversary of Russia’s invasion of Ukraine.

Constellium concludes R&D project on automotive applications

Constellium announced the successful conclusion of the “ISA3” R&D project, initiated in 2021 to enhance lightweighting in automotive design. Conducted in partnership with Renault Group, ESI Group, the Institut de Soudure (Welding Institute), and the University of Lorraine, and supported by a grant from the France Relance investment program, the project has been focused on designing next-generation aluminum automotive components that are lightweight, cost-efficient, and recyclable.

A major milestone of the project is a lightweight aluminum door, co-developed with Renault, using Constellium’s proprietary uni-alloy 6xxx rolled and extrusion-based solutions. This innovative design achieves a 14% weight reduction compared to a current aluminum door used in compact battery electric vehicles. By employing a single alloy series, the design streamlines closed-loop recycling throughout the door’s lifecycle, significantly reducing its carbon footprint.

“We are proud of the results of Project ISA3, which highlight Constellium’s dedication to providing sustainable, high-performance solutions for the automotive market,” said Ludovic Piquier, senior vice president, manufacturing excellence and chief technical officer. “The innovations achieved through this collaboration demonstrate aluminum’s transformative potential to support the decarbonization of the automotive industry, while delivering cost benefits.”