Aluminum industry: "For some, the tree is already burning"

2022-10-01 19:59:54 By : Ms. Alisa Xiong

Why can't I see FAZ.NET?Permalink: https://www.faz.net/-gqi-ax85uCurrent news from politics, economy, sports and cultureEdited by Gerald Braunberger, Jürgen Kaube, Carsten Knop, Berthold KohlerCaution, hot: A Trimet employee in Essen cleans liquid aluminum in a kettle.Image: dpaMany aluminum producers have already cut production because of the high energy prices.Without state aid, their situation will continue to worsen.Permalink: https://www.faz.net/-gqi-ax85uIt doesn't work without aluminium, especially not when it comes to the conversion to a climate-friendly economy.Electric cars, renewable energies, housing construction, machines, electronics or packaging that can be recycled almost indefinitely: the light metal is needed everywhere.At "Aluminum 2022", which brings together more than 700 exhibitors from 50 countries for three days at the Düsseldorf exhibition center, many companies are primarily concerned with the question of where the material will be manufactured in the future."The high energy prices are tearing the rug out from under the feet of energy-intensive production in Germany," said Rob van Gils, the newly elected new President of the Aluminum Germany industry association.The production of primary aluminum consumes a lot of electricity.The sector with around 60,000 employees in Germany is one of the most energy-intensive industries of all.Trimet's main factory in Essen, for example, needs as much electricity as the entire metropolis in the Ruhr area with its 580,000 inhabitants.Because of the sharp rise in electricity prices, Germany's largest aluminum manufacturer cut back its production significantly almost a year ago.The plants in Essen, Hamburg and Voerde are currently only running at half their capacity.The costs have risen to such an extent "that it is no longer possible to cover the costs, let alone make a profit," says Philipp Schlueter, the CEO of the family company.Trimet is not an isolated case.German production of raw aluminum fell by more than a fifth to almost 450,000 tons in the first half of the year, with the decline accelerating in the second quarter.And the situation is getting worse because old supply contracts are expiring, in which the companies had secured comparatively cheap electricity prices.According to van Gils, this will affect almost 40 percent of German aluminum companies by the end of the year, and for another 30 percent it will be in mid-2023 at the latest."For some, the tree is already burning," he said.Gas expert Alverà: "There would be enough gas for Europe"High natural gas prices: The energy transition no longer worksGas crisis: The middle class at the attackThe North Rhine-Westphalian Economics Minister Mona Neubaur (Greens) described the aluminum industry as a "key industry" for Germany and NRW and as an "enabler" on the way to a climate-neutral society.It is necessary to limit energy prices as quickly as possible, and in the medium term it is about accelerating the expansion of renewable energies."The next five years will be crucial for the transformation of industry to succeed," says Neubaur.From the point of view of the industry, time is of the essence: "Once production has been relocated, it will not come back," said von Gils.De-industrialization begins in basic industries.More than half of the raw aluminum is already produced in China - but with three times the carbon dioxide emissions."We are going into the next dependency on partly unreliable trading partners," warned the association president.Here you can acquire the rights to this article.Permalink: https://www.faz.net/-gqi-ax85uEurope's energy crisis: Russia stops delivering gas to ItalyAccording to the Russian state-owned company Gazprom, Austria is to blame for this.Meanwhile, Italy's election winner, Meloni, is making a clear statement.Gas surcharge and electricity prices: Consumer advocates recommend reading the meter readings nowThat could make sense in order to be able to reclaim excessive payments because of the overturned gas levy.Meanwhile, criticism of the traffic light's new gas price plans comes from CDU leader Merz and Ifo President Fuest.FAZ Plus Article: Withdrawal of Western companies: The Russian oil prestige project is paralyzedExxonMobil's withdrawal has shut down the Sakhalin-1 oil well in Russia's Far East.A prime example of how the departure of Western companies is damaging the Russian economy.Why there must be festivals: The Oktoberfest exposes the Corona illusion theaterSuccess for Ukrainian army: Russia gives up strategically important city of LymanLambrecht in Ukraine: "Brutality must not be successful"Protests in Iran: The world is at a turning point© Frankfurter Allgemeine Zeitung GmbH 2001 - 2021 All rights reserved.Aluminum industry: "For some, the tree is already burning""For some the tree is already burning"Many aluminum producers have already cut production because of the high energy prices.Without state aid, their situation will continue to worsen.An error has occurred.Please check your entries.Thank you The post has been sent successfully.