Aluma systems middle east business development manager (abu Dhabi) Daniel Taylor.
How are shifting commodities prices affecting the aluminium sector and what does this mean for construction industry firms? Construction Week investigates.
Aluminium is one of the most utilised materials in the construction industry, with virtually no major projects today completed without its use. But why is the material so popular and how are commodity price fluctuations and the downturn in the construction sector affecting the aluminium market? More importantly, what does this mean for end-users in the construction industry?
Aluminium advantages
Aluminium is a highly versatile commodity, with products manufactured from the material ranging from formwork to window frames and cladding, making its use applicable to all stages of the construction process.
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“The chemical composition and physical characteristics of the material are major advantages,” stresses Youssef Khachan, commercial manager of curtain walling firm Alico. “First of all it does not rust, second it is lightweight, and it has no reaction to the external environment,” adds Khachan.
In addition to its non-corrosive properties, aluminium’s ease of handling is a major factor for its popularity in the construction industry.
“It is very easy to cut, reshape and maintain; if it needs to be cut to a new length this is simple and requires unskilled labour. The only way to damage it is to bend the product,” explains Aluma Systems Middle East, business development manager (Abu Dhabi) Daniel Taylor.
“Another major benefit is it’s quicker and easier to install and requires less labour to use. With shoring equipment, for example, steel weighs twice as much and needs more time and labour to install [equivalent quantities] – 100m² of aluminium table-form can be moved by crane, but you couldn’t do that with steel due to the weight, you would need four pieces for 100m²,” Taylor stresses.
“The demand for aluminium products is increasing as aluminium is used in a lot of new applications,” explains Gulf Extrusions managing director Modar Al Mekdab. Its versatility in architectural design is another benefit. Mekdab explains, “[It can be specified in] different colours or with surface treatments such as anodising or powder coating.”
In addition to benefits while in use, aluminium products have another advantage over those manufactured from materials such as wood and steel – it maintains its scrap value regardless of age due to its non-corrosive properties and slow reaction to air.
Cost control
The price of aluminium, like many other raw materials, has been fluctuating greatly over the past year due both to the global economic recession and the price of oil. “The price of aluminium is directly correlated to that of oil,” explains Taylor.
“It is primary aluminium that is mainly used in the construction industry,” adds Aluma Systems Middle East area manager Geoff Tydeman. “The price of this commodity over the last five years or so has been somewhat volatile with prices peaking in August 2008, prices being affected by supply and demand and energy costs,” he adds.
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