US Aluminum Supply Dips in August 2024 Amid Import and Primary Production Declines

US Aluminum

The US aluminum market experienced a slight contraction in total supply during August 2024, primarily driven by reduced imports of crude metals and alloys, coupled with lower primary production figures. Data released by the United States Geological Survey (USGS) reveals a 1.9% year-on-year decrease, with total supply reaching 716,000 metric tonnes (t), down from 730,000t in August 2023.

A significant factor contributing to this decline was a 15,000t drop in imports of crude metals and alloys, landing at 268,000t. Primary production also saw a decrease of 6,000t, settling at 56,000t. Secondary recovery from old scrap also experienced a decrease of 6,000t to 132,000t. However, an increase in secondary recovery using new scrap, up 13,000t to 166,000t, partially offset these losses.

Year-to-date figures for August show a similar trend, with total new aluminum supply totaling 6.05 million t, compared to 6.11 million t during the same period in 2023. While primary production fell from 504,000t to 452,000t year-to-date, a 134,000t increase in imports of plates, sheets, bars, and other aluminum products to 838,000t mitigated a more substantial year-to-date decline.

Consumption and Scrap Trends

Despite the supply dip, total metal consumption and metal recovery in August 2024 saw year-on-year increases of 7,000t and 6,000t, respectively. Independent mill fabricators played a key role in this growth, boosting consumption by 11,000t to 148,000t and metal recovery by 12,000t to 136,000t. Conversely, secondary smelters reported decreased consumption and metal recovery.

Total scrap melted or consumed in August 2024 reached 315,000t, a 20,000t increase from August 2023. This growth was entirely attributed to new scrap, which saw a 22,000t increase to 186,000t. Year-to-date August 2024 figures show a 140,000t increase in total aluminum melted or consumed, driven by both new and old scrap.

Secondary Alloy Output

Aluminum alloy production at secondary smelters experienced a year-to-date August decline of 37,000t to 722,000t. Notably, production of 380 alloy and its variations saw a 15,000t decrease.