22 

ALUMINUM1

(Data in thousand metric tons of metal unless otherwise noted) 

Domestic Production and Use: In 2007, 6 companies operated 14 primary aluminum smelters; 5 smelters were 

temporarily idled. Based upon published market prices, the value of primary metal production was $7.1 billion. 

Aluminum consumption was centered in the East Central United States. Transportation accounted for an estimated 

38% of domestic consumption; the remainder was used in packaging, 22%; building, 16%; electrical, 7%; machinery, 

7%; consumer durables, 7%; and other, 3%. 

Salient Statistics—United States: 2003 2004 2005 2006 2007e

Production: 

 Primary 2,703 2,516 2,481 2,284 2,600 

 Secondary (from old scrap) 1,070 1,160 1,060 1,080 1,300 

Imports for consumption 4,130 4,720 5,330 5,180 4,500 

Exports 1,540 1,820 2,370 2,820 2,900 

Consumption, apparent2 6,130 6,590 6,460 5,730 5,300 

Price, ingot, average U.S. market (spot), 

 cents per pound 68.1 84.0 91.0 121.4 125.2 

Stocks: 

 Aluminum industry, yearend 1,400 1,470 1,430 1,410 1,500 

 LME, U.S. warehouses, yearend3 207 116 209 239 350 

Employment, number4 58,000 57,500 58,400 59,800 60,000 

Net import reliance5

 as a percentage of 

 apparent consumption 38 44 45 41 26 

Recycling: In 2007, aluminum recovered from purchased scrap was about 3.5 million tons, of which about 63% came 

from new (manufacturing) scrap and 37% from old scrap (discarded aluminum products). Aluminum recovered from 

old scrap was equivalent to about 25% of apparent consumption. 

Import Sources (2003-06): Canada, 55%; Russia, 17%; Brazil, 4%; Venezuela, 4%; and other, 20%. 

Tariff: Item Number Normal Trade Relations

 12-31-07

Unwrought (in coils) 7601.10.3000 2.6% ad val. 

Unwrought (other than aluminum alloys) 7601.10.6000 Free. 

Waste and scrap 7602.00.0000 Free. 

Depletion Allowance: Not applicable.1

Government Stockpile: None. 

Prepared by E. Lee Bray [(703) 648-4979, lbray@usgs.gov, fax: (703) 648-7757] 
 23 

ALUMINUM 

Events, Trends, and Issues: Domestic primary aluminum production increased substantially owing to smelter 

restarts after new power contracts were obtained by producers. Domestic smelters operated at about 69% of rated or 

engineered capacity. 

Net import reliance as a percent of apparent consumption declined dramatically as domestic production increased 

while imports for consumption decreased. Canada and Russia accounted for almost three-fourths of total imports. 

U.S. exports increased slightly in 2007. China, Canada, and Mexico, in descending order, received approximately 

three-fourths of total U.S. exports. Most of the shipments to China (98%) were in the form of aluminum scrap. 

The price of primary aluminum generally rose through July 2007 before declining significantly. In January, the 

average monthly U.S. market price for primary ingot quoted by Platts Metals Week was $1.295 per pound; it reached 

a high of $1.308 per pound in April but in September, the price was $1.115 per pound. Prices on the London Metal 

Exchange (LME) followed the trend of U.S. market prices. The monthly average LME cash price for September was 

$1.075 per pound. 

World primary aluminum production continued to increase as capacity expansions outside the United States were 

brought onstream. Inventories of metal held by producers, as reported by the International Aluminium Institute, 

decreased through the end of July to about 2.8 million tons from 2.9 million tons at yearend 2006. Inventories of 

primary aluminum metal held by the LME increased during the year to 934,000 tons at the end of September from 

698,000 tons at yearend 2006. 

World Smelter Production and Capacity:

 Production Yearend capacity

 2006 2007e 2006 2007e

United States 2,284 2,600 3,700 3,700 

Australia 1,930 1,900 1,950 1,950 

Bahrain 872 870 830 830 

Brazil 1,498 1,700 1,650 1,700 

Canada 3,050 3,100 3,060 3,100 

China 9,350 12,000 10,500 14,000 

Germany 537 520 670 600 

Iceland 320 400 400 790 

India 1,100 1,400 1,200 1,500 

Mozambique 564 560 570 570 

Norway 1,330 1,100 1,350 1,190 

Russia 3,720 4,200 3,800 4,400 

South Africa 895 900 900 900 

Tajikistan 414 500 515 515 

United Arab Emirates, Dubai 730 900 860 920 

Venezuela 610 630 675 675 

Other countries 4,510 4,500 5,240 5,360

 World total (rounded) 33,700 38,000 37,900 42,700 

World Resources: Domestic aluminum requirements cannot be met by domestic bauxite resources. Domestic 

nonbauxitic aluminum resources are abundant and could meet domestic aluminum demand. However, no processes 

for using these resources have been proven economically competitive with those now used for bauxite. The world 

reserve base for bauxite is sufficient to meet world demand for metal well into the future. 

Substitutes: Composites can substitute for aluminum in aircraft fuselages and wings. Glass, paper, plastics, and 

steel can substitute for aluminum in packaging. Magnesium, titanium, and steel can substitute for aluminum in ground 

transportation and structural uses. Composites, steel, and wood can substitute for aluminum in construction. Copper 

can replace aluminum in electrical applications. 

e

Estimated. 

1

See also Bauxite and Alumina. 

2

Domestic primary metal production + recovery from old aluminum scrap + net import reliance. 3

Includes aluminum alloy. 

4

Alumina and aluminum production workers (North American Industry Classification System—3313). Source: U.S. Department of Labor, Bureau of 

Labor Statistics.

5

Defined as imports – exports + adjustments for Government and industry stock changes. 

U.S. Geological Survey, Mineral Commodity Summaries, January 2008