China’s Impact on Commodities Accelerating

This is a guest post by Denis Ouellet at News to Use.

Northern Trust December Perspective Issue has a chart that highlights China’s share of demand for aluminum, copper and steel.

China now accounts for 40% of Al total (not incremental !) demand, 42% for Cu and 48% for steel.

This is truly remarkable. In 2004, China accounted for 16% of world Al consumption and Alcan was forecasting that that proportion would rise to 25% in 2010.

Goldman Sachs shows that the game is far from being over for aluminum as Chinese GDP keeps rising. The outlook for copper does not look as bullish by the same variable.

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