Aluminium vs copper LME price, as of January 2012

However, the actual cost saving of aluminium over copper is even better than immediately perceived. This is due to the difference in density. Aluminum has a density which is less than 1/3 of copper.

This means that the price per metre of an aluminium tube is at least 50% lower than an equivalent copper tube.

Apart from the cost factor, aluminium prices are less volatile than copper prices. All commodities vary in price over time, but aluminium prices are much more stable than copper and provides far easier forecasting of production costs and enables more accurate cost planning.

* LME prices from Jan. 2003 to Jan. 2012

Absorber cost saving potential in %, with partial or total aluminium solution:

	Copper tubes + copper sheet	Copper tubes + aluminium sheet	Aluminium tubes + aluminium sheet
Price of tubes	100%	100%	40%
Price of sheet	100%	26%	26%
Combined price (tubes+sheet)	100%	60%	30%
The above cost savings depend on metal prices and exchange rate (base is EUR), but have been calculated by using average values for 2011.