Aluminium Sheet Prices Soar in US and Germany Amid Shortages and Aerospace Boom

Aluminium Sheet Prices Surge in the US

The price of aluminium sheets in the United States has surged to its highest level in over a decade. The price of aluminium sheet has risen by more than 30% since the beginning of the year, and is now trading at over $2,000 per tonne.

The surge in prices has been driven by a number of factors, including:

• Increased demand from the aerospace industry
• Shortages of aluminium
• Rising energy costs

Increased Demand from the Aerospace Industry

The aerospace industry is one of the largest consumers of aluminium sheet. Aluminium is used in a variety of aircraft components, including fuselages, wings, and landing gear. The demand for aluminium sheet from the aerospace industry has been increasing in recent years due to the increasing production of commercial aircraft.

The global commercial aircraft fleet is expected to grow by 50% over the next 20 years. This growth is being driven by the increasing demand for air travel in emerging markets.

Shortages of Aluminium

The supply of aluminium sheet has been unable to keep up with the increasing demand. This has led to shortages of aluminium sheet, which have further driven up prices.

The shortages of aluminium sheet have been caused by a number of factors, including:

• Disruptions to production due to the COVID-19 pandemic
• Reduced production from China
• Increased demand from other industries

Rising Energy Costs

The cost of producing aluminium sheet has also been rising due to the increasing cost of energy. Aluminium is produced using a process called electrolysis, which requires a large amount of electricity.

The rising cost of electricity has made it more expensive to produce aluminium sheet, which has further contributed to the increase in prices.

Impact on the US Economy

The surge in aluminium sheet prices is having a significant impact on the US economy. The increased cost of aluminium is making it more expensive to produce goods that use aluminium, such as cars, airplanes, and construction materials.

The rising cost of aluminium is also putting pressure on the profits of companies that use aluminium in their products. This could lead to job losses and reduced investment in the US economy.

Outlook for the Future

The outlook for the future of aluminium sheet prices is uncertain. The demand for aluminium sheet is expected to continue to grow in the coming years, but the supply of aluminium sheet is likely to remain constrained.

This could lead to further increases in aluminium sheet prices. However, the pace of the increase is likely to slow as the supply of aluminium sheet increases and the demand for aluminium sheet from the aerospace industry moderates.