North American aluminium demand down in 2023
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As part of its monthly Aluminum Situation statistical report, the Aluminum Association released preliminary estimates showing a 3.9% contraction in year-over-year demand for the aluminium industry in North America (shipments by producers in the US and Canada plus imports) in 2023. Industry demand recovered slightly in the fourth quarter and ended the year close to 2021 results. The majority of this demand decline was driven by a drop in imports of around one-quarter in 2023 while domestic producer shipments (ingot + mill products) held essentially steady. Meanwhile, the association’s Index of Net New Orders of Aluminum Mill Products hit 114.5 in January 2024 (baseline index of 100), its highest level since June 2022.
“While North American demand declined slightly in 2023 following strong results in 2022, this latest data shows early signs of recovery,” said Charles Johnson, president and CEO of the Aluminum Association. “With historic US aluminium manufacturing investment, steady domestic shipments and continued growth opportunities in many of our key markets, the trendlines for US aluminium remain strong.”
Graph: Aluminum Association
Key takeaways from the report include:
- Aluminium demand in the United States and Canada (shipments by domestic producers plus imports) totaled an estimated 26,271 million pounds in 2023, compared to the 2022 total of 27,337 million pounds.
- Since 2009, the domestic aluminium industry has enjoyed a 2.4% compound annual growth rate (CAGR).
- In January 2024, the association’s Index of Net New Orders of Aluminum Mill Products (baseline index of 100) hit 114.5 – its highest level since June 2022.
- Electrical wire & cable saw 12.1% year-over-year demand growth as the electrical infrastructure market remains strong.
- In total, semi-fabricated – or “mill” – product demand declined 9.2% year-over-year in 2023.
- Imports of aluminium ingot and mill products into the North America (US and Canada) have fallen 26.3% through year end 2023.
- Exports of aluminium ingot and mill products from the U.S. and Canada (excluding cross border trade) increased 25.6% in 2023.
Since 2013, Aluminum Association member companies have announced more than $10 billion in investments for domestic manufacturing operations. More than half of that investment has been announced since 2021 – thanks to demand for sustainable packaging, safe and efficient vehicles, greener buildings and vital infrastructure.
The Aluminum Situation report is one of more than two-dozen ongoing industry statistical reports developed exclusively by the Aluminum Association through surveys of aluminium producers, fabricators and recyclers. Subscribers to the Aluminum Association statistical reports have access to an online portal with data users can manipulate directly to produce interactive, presentation-ready charts and graphs. To learn more about the Aluminum Association’s statistical offerings or to subscribe, visit: www.aluminum.org/statistics.
