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Overseas aluminum processing plants partially closed under epidemic


As the epidemic continues to ferment around the world, Europe and the United States have become "storm eyes", the number of confirmed diagnoses is rising, and the escalation of epidemic prevention measures in various countries has also brought great uncertainty to market demand. Among them, the epidemic hit the global auto industry, and global auto companies pressed the pause button. It is reported that more than 100 automobile factories in Europe, the United States, Japan, South Korea and other vehicle manufacturing industries have collectively been in a state of suspension. At present, various car companies temporarily set different shutdowns and production time. For example, car companies such as Ford, General Motors, BMW, Daimler, etc. are temporarily suspended for two weeks, while car companies such as Volkswagen and Tesla have three companies. week.

As a result, the decline in orders for automobiles and other terminals, combined with the intensified overseas epidemic, has led some overseas aluminum processing companies to suspend production or temporarily reduce the aluminum supply in the automotive market to produce aluminum for beverage cans and medical foils.

SMM summarizes the impact of overseas aluminum enterprises:

It is reported that aluminum currently used in automobiles is mainly concentrated on power systems and wheels. Among them, the traditional fuel vehicle power system uses more than 50% aluminum. This part is mainly made of recycled cast aluminum alloy, followed by about 30% of the wheels, which are all original cast aluminum alloys. Other small amounts of rolling and casting aluminum are mainly concentrated outside. Equipped with luggage racks and anti-collision beams. In addition to the traditional fuel vehicles, the use of primary aluminum processed materials in new energy vehicles exceeds 80%, especially the proportion of aluminum for rolling is relatively higher, but the total proportion is relatively limited. The overall impact is still mainly influenced by the consumption of traditional fuel vehicles.

Under the constant sluggish demand of overseas automobiles and other terminals, how will it affect aluminum processing enterprises?

Under the influence of this epidemic, automobile consumption is weak, and the first to bear the brunt is the recycled casting aluminum alloy production enterprises and their supporting power system parts production enterprises, followed by the native casting aluminum alloy and supporting aluminum wheel enterprises, and other aluminum processed materials account for their consumption. The relatively small relative impact is limited. And in terms of time, the shutdown of overseas auto factories is basically at the end of March. Although the shutdown time is mostly two weeks, but it will take a longer time to resume production after the epidemic improves. In terms of terminal consumption, during the economic downturn, As non-essential necessities of large-scale durable goods consumption, automobile consumption recovery has also been relatively slow. It is expected that orders for overseas automobile consumption sector will be greatly affected throughout April, and related recycled/primary cast aluminum alloy production enterprises will be greatly affected. Of course, the relevant domestic export orders will also be suppressed at the same time, and the consumer side still needs to wait for a significant improvement in the overseas epidemic.

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