September 1, 2021 – The overall picture on the world raw material markets today is unchanged from the last few days. We are therefore very brief today. The attitude on the raw material markets is wait-and-see. Demand for nickel and aluminum is likely to lead to fierce competition. And stainless steel is and will remain in short supply.
Wait-and-see attitude on the raw material markets
Due to the sharp price increases on the commodity exchanges in recent days, the market has currently adopted a wait-and-see attitude. Large or unexpected movements are not visible in the commodities or base metals.
Also, the Chinese market is waiting for the sale of the third batch from the national commodity reserves, which is currently depressing prices a bit, but as with the other two batches before, is unlikely to bring any major changes.
Tightening competitive situation for nickel and aluminum
In the coming months and years, there is likely to be a further increase in the competitive situation for consumers of nickel and aluminum. Electromobility has seen another huge increase since the end of 2020, and demand for battery metals has risen significantly this year. All four major battery metals – graphite, cobalt, lithium and nickel – have risen significantly in price.
Aluminum demand in the automotive sector will continue to rise
In addition, the proportion of aluminum in vehicles is increasing, since less weight always means more range. Currently, cars with internal combustion engines still contain an average of 180 kg of aluminum. In vehicles with electric drives, the aluminum content is around 250 kg. And the first aluminum-based EV batteries are already here or in development.
Stainless steel still in short supply, look for material now
“The supply situation for stainless steel remains tight worldwide and shows no signs of easing at present. We therefore continue to urge stainless steel consumers to take care of their procurement. Please do not hesitate to contact us. We are here to help,” said Thorsten Gerber, CEO of the Gerber Group this morning.
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We at the Gerber Group have been trading in stainless steel worldwide for over 20 years. We are your experts when it comes to purchasing, import, logistics and services. Information is a vital part of this. Because only then can you and we make the right decisions. Do you have any questions? Contact us now.
Disclaimer: Many things here represent our opinion. Others are information from the Internet. We can therefore never claim to be correct or complete. And never base a business decision solely on the news you receive from us.