Canada Aluminum Demand Up Through Nov '06 Versus '05

Aluminum demand in the U.S. and Canada totaled an estimated 21.14 billion pounds through November, 2.2% above the same period of 2005, according to the latest report from the Aluminum Association.

Demand for semi-fabricated mill products totaled 16.578 billion pounds to-date, up 0.8% over last year, the Association said

Apparent consumption - demand less exports - in domestic markets through November totaled 21.595 billion pounds, 1.1% above a year ago. Exports of aluminum from the U.S. and Canada (excluding cross-border trade) totaled 5.426 billion pounds through November, 27.7% higher than last year.

Year-to-date, imports in 2006 total 5.429 billion pounds, essentially equal to exports, a decline of 6.7% from 2005.

The Aluminum Association, in cooperation with the Aluminum Association of Canada, said that combined U.S. and Canadian primary aluminum production totaled 5,332,043 metric tons during 2006, a decline of 0.8% from the 2005 total of 5,374,691 metric tons.

Production in Canada rose by 5.4% to a record total of 3,051,127 metric tons but these gains were off-set by an 8.0% reduction in U.S. production, which totaled 2,280,916 metric tons at year-end.

Demand for aluminum mill products in the U.S. and Canada totaled 1.390 billion pounds in December, off 1.8% from November 2005.

Demand for aluminum sheet and plate totaled 822 million pounds in November, 2.2% above last year while extruded products recorded a year-over-year decline of 11.1% to 332 million pounds.

Through 11 months, demand for mill products is up 0.8% over a year ago.

Shipments of aluminum ingot for castings and other uses, totaling 703 million pounds, were down 0.3% from the previous year.

Apparent aluminum consumption in domestic U.S. and Canada markets totaled 1.881 billion pounds in November, off 0.4% from 2005.

Producer inventories totaled 3.097 billion pounds in November, off 1.1% from the revised October total of 3.130 billion pounds.

The Association's "Index of Net New Orders of Aluminum Mill Products" recorded a decline again in December, decreasing 4.9% from November.

Orders of flat roll products (including can stock and foil) were off 2.9% in December while order receipts for extruded products declined 9.8%.

Orders for "other" mill products, including drawing stock, electrical conductor and forgings, dropped 11.5%. Compared to December 2005, new orders were down 12.3%. On average, orders recorded by domestic producers during 2006 were 3.4% above those in 2005.

According to the U.S. Geological Survey, the U.S. aluminum industry purchased an estimated 661 million pounds of aluminum scrap in November 2006, 9.1% above the November 2005 total of 606 million pounds.

USGS estimates that aluminum and aluminum alloys recovery totaled 551.2 million pounds in November, 7.7% over last year. Year-to-date, recovery of aluminum from scrap is up 0.5%.

U.S. exports of scrap, not included in the government's consumption statistics, totaled 233 million pounds, off 0.8% from November 2005 but up 36.6% year-to-date.

Aluminum imports of ingot, scrap and mill products into the U.S. and Canada (excluding cross-border trade) totaled of 385.4 million pounds in November, 11.0% below the previous month's total of 433.0 million pounds, yet 2.0% above November 2005. Year-to-date, imports totaled 5.428 million pounds, down 6.7% from last year.

Exports, totaling 436.2 million pounds in November, were down 16.6% from October and 4.1% below a year ago. Through 11 months, exports totaled 5.426 million pounds, up 27.7% over the same period of 2005.