LONDON--Substitution of copper with aluminum is increasing, particularly in China and in applications like building wire, Alcan Inc.'s president and chief executive, Dick Evans, said on a conference call Wednesday.
Certain production lines like building wire can use either copper or aluminum, Evans said, adding that there's been a slow, gradual replacement of copper with aluminum even when the prices of the two were much closer.
But as copper prices rocketed in 2006 and remain at roughly double those of aluminum despite falling back in 2007, this substitution has accelerated, he added.
There have been a lot of engineering efforts, especially in China, due to the very high prices of copper," Evans said. "So far the transition from copper to aluminum has been mostly in developed countries as (the technology) is already established and proven there," he added.
There was now great interest in substitution from China, Evans said, adding that the changes wouldn't happen overnight.
"It takes some time as product specifications need recertification," he added.
As of 1615 GMT, London Metal Exchange aluminum is trading around $2,700 a metric ton, while copper is holding around $5,600/ton.
豫公网安备41010502003434号