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Aluminium sector in Brazil: High potential for consumption growth



Executive summary:

  • Domestic consumption was exected to grow 5.3% in 2013.
  • Packaging, construction and transport sectors will continue to be the key drivers of consumption growth.
  • ​As opposed to consumption, domestic primary aluminium production receded in 2013 (around 10%)
  • 2013, average price was down 9% y/y and was approaching pre-crisis levels.
  • Global oversupply, high electricity costs and weak aluminium prices have shut down smelter capacity in Brazil, which has become a net importer of primary aluminium.