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Russia is one of the world’s fastest growing aluminium markets. The rapid development of transport, construction and packaging industries along with the long-term national sports projects now underway – 2014 Winter Olympic Games and 2018 Football World Cup – fuel the demand for aluminium in Russia. It is expected that Russia and CIS will be increasing aluminium consumption by 8% between 2011 and 2015.

In terms of industrial growth rates, Russia is not far behind Asian countries in second place.

The attractiveness of the Russian aluminium market is further boosted by its high demand for casthouse products. The consumption of value-added products accounts for over 70% of total aluminium consumption in Russia.

Russia’s federal strategy of development and modernisation for the construction sector is designed to increase the application of up-to-date energy efficient construction materials that over the long will favorably affect aluminium consumption in Russia. The inherent properties of aluminium that include durability, lightness and resistance to corrosion allow for an unlimited range of its applications in the construction industry.

The Russian automotive industry is rapidly rebounding from a decline, triggered by the global economic downturn. In 2011, the consumption of auto products in Russia is anticipated to increase over 2007. Russia auto market is now the second largest in Europe.

Between 2011 and 2015 Russia is expected to become one of the fastest growing auto markets in the world – the average annual demand is forecasted to grow by 10-15% per year. A need to increase production of automotive components will drive the demand for aluminium alloys.

Russian manufacturers of aluminium-containing products are below capacity indicating significant growth potential of the Russian aluminium market. This reduced capacity utilization rate is a result of a swollen share of imported products containing aluminium. This is largely explained by a lack of protection for the Russian producers of aluminium-based products as well as an insufficient control over the laws execution. The restrictions on the import of finished and semi-finished aluminium- based products to Russia would help local producers to increase the capacity utilization rate, thus triggering the demand for aluminium in Russia.

  Import of aluminium-based products to Russia, 2007-2009