Alcoa, an American industrial corporation and the world's eighth-largest producer of aluminium, has reportedly expressed its optimistic outlook on the usage of aluminium to be driven by power grids, energy storage, and solar panels development to support energy transition to renewable energy.
Image Source: Alcoa Corporation
Reiterating the vision, Alcoa's CEO William (Bill) F. Oplinger states that aluminium is a ready substitute for copper. He asserted: "Alcoa very bullish" on aluminium as the energy transition drives demand growth, including substitution away from copper."
At a conference in Sydney, William (Bill) F. Oplinger said that demand for copper would surpass the production volume, giving space to aluminium to intrude and substitute copper in some applications.
"Megatrends are driving aluminium demand of 3%, 4%, and 5% every year," said William Oplinger.
"Couple that with some supply changes in the industry, for instance the Chinese sticking to a mandatory cap they have put in place ... that shapes up to a much stronger aluminium market globally," he added.
The optimism on aluminium demand is also expressed by Ducab's CEO Mohammed AlMutawa, who thinks aluminium usage in electric vehicles will surge ten-fold to nearly 10 million tonnes by the end of 2030. He also believes the usage of primary aluminium in electric vehicles will supersede scrap metal.
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