Could Aluminum Stockpiles Disappear by 2024? Trafigura Thinks So
- Booming demand to drive inventories towards zero, trader says
- Aluminum prices are closing in on a record amid supply curbs
Piles of aluminum ingots.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
Trading giant Trafigura Group has a stark warning for aluminum buyers: deep shortages of one of the most widely used metals mean the world will run out of stockpiles by early 2024.
Demand for aluminum -- used in everything from food packaging to cars to planes -- has surged as the global economy recovers from the pandemic, while an energy crisis in Europe and China has crimped supply. That’s put prices on the brink of a record high, and the prospect of even more gains will add to the headache of red-hot inflation facing consumers and central banks.