Changing patterns in aluminium production costs

Anthony Bird

Natural Resources Forum, 1993, vol. 17, issue 2, 151-155

Abstract: The average cost of producing aluminium fell slightly in nominal terms between 1982 and 1992, and there has thus been a sharp fall in real terms. The average cost also shows a marked cyclical fluctuation during individual years, partly as a result of the feedback effect from final metal prices to the cost curve. Between 1985 and 1992, exchange rate fluctuations produced a sharp change in the relative position of US and European smelters. During the next eight years, costs are likely to rise gradually in real terms, reversing the historical trend, and unless the higher cost European smelters can cut costs significantly, they may face a bleak future.

Date: 1993
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https://doi.org/10.1111/j.1477-8947.1993.tb00170.x

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Persistent link: https://EconPapers.repec.org/RePEc:wly:natres:v:17:y:1993:i:2:p:151-155

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