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Restructuring of the aluminium industry
Author(s) -
Adams Robin G.
Publication year - 1990
Publication title -
natural resources forum
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.646
H-Index - 49
eISSN - 1477-8947
pISSN - 0165-0203
DOI - 10.1111/j.1477-8947.1990.tb00374.x
Subject(s) - restructuring , investment (military) , downstream (manufacturing) , aluminium smelting , smelting , business , industrial organization , natural resource economics , raw material , supply and demand , economics , finance , microeconomics , metallurgy , materials science , marketing , politics , political science , law , chemistry , organic chemistry
In the 1980s, the basic strategies of the major integrated aluminium companies have been to emphasize added investment in downstream activities at the expense of investment in smelting and raw material supply. The paper examines the rationale for such investment strategies, explores the advantages and disadvantages of downstream investment and presents projections of future demand and capacity in the industry. Overall, the industry appears to be in good shape until the mid‐1990s when demand is likely to exceed currently projected capacity.