NEW YORK Government
regulations might hinder the growth of Asia-Pacific bauxite
production, which is expected to rise to meet growing regional
aluminum demand for aluminum, according to a report from GBI
The region accounted for 64
percent of global bauxite production in 2011 and is expected to
expand at a compound annual growth rate of 6.7 percent through
2020, according to London-based GBI. But the report cautioned
that "regulatory issues imposed on the mining industries of
many Asian countries may damage bauxite production levels in
The report echoed remarks made
at this weeks 2nd Annual Aluminum Summit, hosted by
AMM in New York, where Rusal Marketing GmbH chief
executive officer Steve Hodgson declared that supply growth
potential in the region is "quite limited."
Also at the summit, Paul Adkins,
managing director of Beijing-based AZ China, said that he
didnt see Indonesia as a "long-term supplier," despite
its recent emergence as a prominent source of bauxite.
"Although their imports are
large, the material only goes to a few companies, and those
companies just happen to be well positioned on the cash/cost
curve," he said.