18 

ALUMINUM1

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

Domestic Production and Use: In 2008, 6 companies operated 14 primary aluminum smelters; 4 smelters were 

temporarily idled and 1 that had been idle since 2000 was demolished in 2007. Based upon published market prices, 

the value of primary metal production was $7.9 billion. Aluminum consumption was centered in the East Central 

United States. Transportation accounted for an estimated 37% of domestic consumption; the remainder was used in 

packaging, 23%; building, 13%; electrical, 8%; machinery, 8%; consumer durables, 7%; and other, 4%. 

Salient Statistics—United States: 2004 2005 2006 2007 2008e

Production: 

 Primary 2,516 2,481 2,284 2,554 2,640 

 Secondary (from old scrap) 1,160 1,080 1,260 1,600 1,400 

Imports for consumption 4,720 5,330 5,180 4,490 4,300 

Exports 1,820 2,370 2,820 2,840 3,800 

Consumption, apparent2 6,060 5,990 5,980 5,110 3,700 

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

 cents per pound 84.0 91.0 121.4 125.2 132.3 

Stocks: 

 Aluminum industry, yearend 1,470 1,430 1,410 1,400 1,300 

 LME, U.S. warehouses, yearend3 116 209 228 463 860 

Employment, number4 57,500 58,400 57,300 56,600 55,000 

Net import reliance5

 as a percentage of 

 apparent consumption 39 41 31 19 E 

Recycling: In 2008, aluminum recovered from purchased scrap was about 3.6 million tons, of which about 60% came 

from new (manufacturing) scrap and 40% from old scrap (discarded aluminum products). Aluminum recovered from 

old scrap was equivalent to about 30% of apparent consumption. 

Import Sources (2004-07): Canada, 55%; Russia, 16%; Brazil, 4%; China, 4%; and other, 21%. 

Tariff: Item Number Normal Trade Relations

 12-31-08

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. 

Events, Trends, and Issues: During the first half of 2008, domestic primary aluminum production increased 

substantially owing to smelter restarts after new power contracts were obtained by producers in late 2006 and early 

2007. However, in the second half of the year, production was curtailed at two smelters owing to high electricity 

prices, power supply issues, and a sharp drop in the price of aluminum that took place in August. Domestic smelters 

operated at about 72% of rated or engineered capacity. 

Prepared by E. Lee Bray [(703) 648-4979, lbray@usgs.gov, fax: (703) 648-7757] 
 19 

ALUMINUM 

Net import reliance as a percent of apparent consumption continued a decline that began in 2005, as domestic 

primary production increased while imports for consumption decreased and exports increased, resulting in the United 

States becoming a net exporter of aluminum in 2008. Canada and Russia accounted for almost three-fourths of total 

imports. U.S. exports increased by 34% in 2008 compared with the amount exported in 2007. China, Canada, Mexico 

and Taiwan, in descending order, received approximately three-fourths of total U.S. exports. 

The price of primary aluminum generally rose through July 2008 before declining significantly. In January, the 

average monthly U.S. market price for primary ingot quoted by Platts Metals Week was $1.136 per pound; it reached 

a high of $1.426 per pound in July, but in September, the price was $1.192 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 

$1.138 per pound. 

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

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

increased through the end of August to about 3.0 million tons from 2.8 million tons at yearend 2007. Inventories of 

primary aluminum metal held by the LME worldwide increased during the year to 1,380,000 tons at the end of 

September from 930,000 tons at yearend 2007. 

World Smelter Production and Capacity:

 Production Yearend capacity

 2007 2008e 2007 2008e

United States 2,554 2,640 3,620 3,620 

Australia 1,960 1,960 1,950 1,950 

Bahrain 873 870 830 830 

Brazil 1,660 1,660 1,700 1,700 

Canada 3,090 3,100 3,100 3,100 

China 12,600 13,500 14,000 15,000 

Germany 550 590 600 600 

Iceland 398 790 790 790 

India 1,220 1,300 1,500 1,800 

Mozambique 564 550 570 570 

Norway 1,300 1,100 1,350 1,200 

Russia 3,960 4,200 4,400 4,400 

South Africa 899 850 900 900 

Tajikistan 419 420 515 515 

United Arab Emirates, Dubai 890 920 890 950 

Venezuela 610 550 625 625 

Other countries 4,460 4,700 5,360 5,770

 World total (rounded) 38,000 39,700 42,700 44,300 

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, vinyl, and wood can substitute for aluminum in construction. 

Copper can replace aluminum in electrical applications. 

e

Estimated. E Net exporter. 

1

See also Bauxite and Alumina. 

2

Domestic primary metal production + recovery from old aluminum scrap + net import reliance. Series revised by removing imported scrap to avoid 

double counting. 

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 2009