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Rusal expects aluminum demand to grow in 2019

Aluminum consumption grew by around 2% in Europe last year

MOSCOW, March 7 /TASS/. Russia’s aluminum producer Rusal expects accelerated growth of aluminum demand in 2019 due to persisting shortage of supply standing at 1-1.4 mln tonnes, Director of Strategy, Business Development & Financial Markets Oleg Mukhamedshin told reporters on Thursday.

"We assume that that aluminum demand will continue growing in 2019. Deficit persists on the market. That is at least 1 mln tonnes, or virtually maybe 1.4 mln tonnes. We expect the demand to gain 3.7% in 2019 to 68 mln tonnes. Consequently, the price will rise as well," he said.

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According to Mukhamedshin, the aluminum price on the market added 7.3% in 2018 to $2,260 per tonne. Aluminum consumption grew by around 2% in Europe, by 1.3% in Asia (excluding China and India), and by 1.6% in North America in 2018.

Rusal is the largest aluminum producer outside China and the only primary aluminum producer in Russia. In 2018, the company produced 3.753 mln tonnes of aluminum, an increase of 1.3% compared with 2017. Meanwhile, sales dropped by 7.2% in the period to 3.671 mln tonnes.

Rusal exported more than 80% of its products before US sanctions were slapped. Restrictions were lifted on January 27 Washington time (January 28 Moscow time).

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