Buoyed by development of the property and construction sectors, demand for aluminum profiles in the Gulf Cooperation Council (GCC) states is expected to rise to 212.243 tonnes in 2005 from 178.670 tonnes in 2004, the official WAM news agency reported Saturday.

According to a study by Horizons Foundation for Development Studies, Saudi Arabia and the United Arab Emirates (UAE) are taking the lion's share of demand for aluminum products fuelled by huge urban, social, economic and industrial expansions.

The study said that Saudi Arabia is the largest consumer of aluminum profiles with demand likely to grow 7.5 and 10 percent in 2004 and 2005 to 85.647 tonnes and 94.211 tonnes respectively.

Meanwhile, UAE is the second largest consumer with demand surging by 14 and 18 percent this year and next year to 64.502 tonnes and 76.112 tonnes respectively.

The growth in demand is also projected to hike in Oman, Kuwait, Oman and Qatar in 2005.

Most of aluminum smelters are concentrated in Bahrain and the UAE. The more-than-expected growth in the real estate and construction sectors have generated high demand for both aluminum and steel products, prompting investors to pump millions of dollars into these promising sectors.

The GCC, a regional political and economic alliance established in 1981, groups Kuwait, Bahrain, Saudi Arabia, Oman, the UAE and Qatar.

Source: Xinhua