Recently, the epidemic situation in Europe and the United States has been deteriorating, and European and American car companies that have stopped production for nearly half a month have repeatedly delayed the resumption of work. Fiat Chrysler extended plant shutdowns in the United States and Canada until May 4; Ford announced an indefinite delay in resuming production in North America; GM declined to give a specific resumption time, saying it would review it weekly; Volkswagen Germany extended the shutdown until April 19. Some people in the industry say there is no sign of resuming production until at least May. As an important area of aluminum consumption, the shutdown of the automobile industry has an increasing impact on the aluminum industry chain. recently, there has been frequent news that aluminum rolling mills and extrusion enterprises have reduced production or delayed resuming work. most enterprises said that the sharp reduction in demand in the automobile market in Europe and the United States was the main reason for the reduction in production.
While the demand side continues to deteriorate, the aluminum supply side is relatively stable. At present, only a few aluminum plants have reduced production, but not much capacity is involved. All the major aluminum enterprises are trying their best to ensure the continuous operation of the aluminum plant. So far, among the major aluminum companies, only Rio Tinto has cut production, Hydro's resumption project has been delayed, and the upstream operations of other large aluminum companies, including Alcoa, Rusal, Bahrain Alcoa, EGA and India, are operating normally. It is expected that under the pressure of deteriorating demand and low aluminum prices, the area of overseas electrolytic aluminum production reduction will expand, but the situation of large oversupply is difficult to change.
