27 01, 2017

2016 Was A Great Year for Aluminum Markets

2017-07-26T17:50:06+00:00 January 27th, 2017|

2016 was certainly an interesting year; between Brexit and the enormously capricious U.S Presidential election, a lot of folks in many industries of the world found it hard to shake uncertainty in their trust in market stability.

Despite the overall negativity that seems to be extra pervasive as of late, the aluminum market has reason to remain optimistic- as 2016 showed consistent positive growth in all areas of the aluminum sector with aluminum prices rising by 15% over the course of the year, with 2017 showing no sign of slowing progress.

Since Donald Trump’s win in the American presidential election, a variety of commodities have experienced a surge in price and overall positive market sentiment, aluminum included, with prices nearly breaching the $1,800 price level.

There are a few key factors here that have effected aluminum prices. First, following Chinese curtailments in the 3rd quarter of the year, alumina appears to be inching towards a supply deficit. In addition, higher coal prices have also propped up aluminum’s market price. The cost curve for global aluminum shifted upward steadily after the 1st quarter, when China’s aluminum production slowed.

And the overall positive trends are showing no signs of stopping going into 2017.

Back in December 2016 the U.S Federal Reserve hiked the interest rate by 0.25%- a move which would seem to indicate that they believe in the overall world economy strengthening, with anticipation for more rate hikes in 2017. US aluminum demand could potentially be impacted by this hike. As the U.S dollar becomes a stronger currency, commodities tend to drop in price; but a stronger dollar also makes American aluminum costlier in foreign countries.

Furthermore, President Donald Trump’s proposed infrastructure investments could mean a lot of business for industries like steel and aluminum- as investments in bridges, highways, and power grids could boost the demand for extruded aluminum. Of course, it’s hard to tell whether or not all or any of these projects will pass through.

Taber Extrusions is looking forward to another year and another opportunity to prove that we have the broadest capabilities in the aluminum extrusion industry and aluminum fabrications services that are second to none. Are you ready to make 2017 another great success?

For more information or to request a quote, please call us today ay (800) 563-6853 or e-mail us at info@taberextrusions.com

12 01, 2017

How Extruded Aluminum Saved the Canoe

2017-01-26T23:37:27+00:00 January 12th, 2017|

canoe-1668538_960_720The canoe is one of the oldest seafaring vessels in human history, but did you know that its history is inextricably linked with that of the American aluminum industry? Without innovations in extruded aluminum shapes, we might not have the modern canoe we know and love today. It all started after World War II, when the U.S. had been producing record amounts of extruded aluminum for the war effort. After the need for automotive and aerospace parts began to lessen, manufacturers and extruders needed to come up with a new use for the material. Enter: the humble canoe.

Nowadays we think of aluminum as a common metal with many household and recreation applications, including but not limited to water sports. However, because aluminum is not a naturally occurring resource but an alloy made up of multiple elements, there was time before the 1940s when finding the right applications and demand for aluminum shapes was a tricky proposition. World War II changed the U.S. economy and workforce forever by employing millions of recession-stricken Americans for primarily manufacturing-based jobs to aid in the war effort. One such employer was called Grunman, a major supplier of aluminum aircraft for allied forces. After the war, Grunman needed to find a way to stay in business while providing extruded aluminum shapes for the public at large. One of Grunman’s employees, an avid outdoorsman, first came up with the idea of an aluminum canoe after struggling with his traditional canvas and wood constructed model. Aluminum, he proposed, would be significantly lighter, watertight, and easy to manufacture using Grunman’s advance techniques gleaned from extruding military aircraft parts. The gamble paid off, and the canoes quickly became Grunman’s most popular product.

Today aluminum is still one of the most commonly found materials for personal watercraft, and Taber is proud to contribute to this legacy of innovation, ingenuity, and American manufacturing. Visit our site here to learn about some of the other industries we serve besides marine; including automotive, aerospace, and agricultural markets. No matter how unique your idea, Taber’s team of metallurgists and engineers are ready to make it a reality. Get in touch today!

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