North America Sees Automotive Aluminum Prices Increase
Novelis, a provider of aluminum rolling and recycling, has announced price increases on its North American Automotive and Specialty aluminum sheet products for all new orders effective immediately. All existing orders and firm agreements confirmed prior to August 7, 2014, will be honored throughout the contract period, according to the company.
6xxx series automotive alloys
5xxx series automotive alloys
1xxx and 3xxx series alloys
The automotive price increase is in addition to the previously announced pricing adjustment made on January 1, 2014, of $0.11 per pound for 6000-series, 5182-series, and 5000-series coated Automotive alloys.
“To support the rapidly growing automotive market demand, Novelis remains committed as the industry leader in announced capacity investments in North America, Europe and Asia,” said Marco Palmieri, senior vice president, Novelis and president, Novelis North America. “In North America, we’ve commissioned two new auto finishing lines in Oswego, New York, that are in full production and are completing construction of a third auto finishing line increasing our regional capacity by up to 360,000 tons per year. That’s seven times our current production capacity and an important milestone to remain the industry leader as North American automotive market demand is expected to increase 20-fold in the next 10 years.”
In addition to the Oswego expansion, the automotive finishing line in Changzhou, China, is on track to be in production in the next 90 days and will have a capacity of 120,000 tons, according to the company. The company has also broken ground on a new automotive finishing line in Nachterstedt, Germany. When all of the new lines are commissioned by late 2015, Novelis’ global automotive sheet capacity will reach about 900,000 tons per year, a three-fold increase from just a year ago.
Aluminum automotive sheet is used for making structural components and exterior body panels. Novelis said its aluminum can be found in more than 180 different vehicle models produced by leading automakers around the globe,