Commodities Buzz: Alcoa Projects Global Deficit For Aluminum And Alumina This Year

Global mining giant Alcoa is projecting a global deficit for both aluminum and alumina in 2018. Due to delays in projects to expand smelters in China, the Company expects the global aluminum deficit to grow to between 600 thousand metric tons and 1 million metric tons, up from last quarters deficit estimate of between 300 thousand metric tons and 700 thousand metric tons. Global aluminum demand growth is projected between 4.25 to 5.25%. In alumina, Alcoa projects a global deficit between 300 thousand metric tons and 1.1 million metric tons for full year 2018, primarily due to supply disruptions in the Atlantic region. This projection compares to last quarters expectations of a balanced market. In first quarter 2018, Alcoa reported net income of $ 150 million, or $ 0.80 per share. In fourth quarter 2017, Alcoa reported a net loss of $ 196 million, or $ 1.06 per share, which included $ 391 million in special items tied primarily to previously announced actions taken in line with the Companys strategic priorities.