Dubai Aluminium Q1 sale plunges 30 per cent
Dubai, May 11, 2009
Sales of state-owned smelter Dubai Aluminium Company (Dubal) fell 30 per cent in the first quarter due to declines in the global automobile industry, its chief executive Abdulla Kalban said on Monday.
'We have seen a drop of 30 per cent in our sales at Dubal during the first quarter of the year, which is due to international decline from the automotive industry,' Kalban told an industry conference in Dubai.
Aluminium producers worldwide have taken about 15 per cent of global capacity offline as global demand has slumped with the slowing economy.
Kalban told the conference there would be no production cuts at Dubal. The smelter said in March it had no plans to cut production and would keep output steady in 2009 at 950,000 tonnes.
The automobile industry around the world has been brought to its knees as consumer demand is badly hit by the global credit crisis.
US automaker Chrysler has filed for bankruptcy, while General Motors Corp has said it would do the same if a planned bond exchange offer fails.
US auto sales fell 34.4 per cent in April from a year earlier, according to manufacturers.-Reuters