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Title: Energy-intensive materials and the developing countries

Journal Article · · Mater. Soc.; (United States)
OSTI ID:5492809

Energy-intensive materials (EIM) as defined for this paper are homogeneous commodities whose direct and indirect productive processes require unusually large amounts of energy. Production of non-fuel EIM may have consumed, in the 1970s, 25-30% of the world's energy. Energy embodied in internationally traded EIM may be equivalent to one-third or more of the total direct international trade in energy. Patterns of international production and consumption are described. Production and consumption of EIM tend to turn downwards relative to both population and national product at higher levels of per capita income, and there is some evidence of an accelerated drop in per capita production and consumption among today's higher income nations. Relative price changes are reviewed for the period 1900-1980, and estimates are made of the relative price effects (generally rather small when measured relative to price changes for all commodities) attributed to price changes in energy itself. Major conclusions are: 1) political, market, and economic factors are likely to favor expanded production of EIM in developing countries as per capita incomes rise; 2) for some of the more rapidly industrializing developing countries the gap between EIM production and consumption will continue to close while for the richer of the more developed countries, cross-country analysis suggest the possibility of increasing shortfalls of EIM production; 3) aluminum capacity appears to be gravitating towards lower cost oil, gas and hydro power; and 4) in the steel industry, technological innovations, especially direct iron ore reduction and the spread of electric arc furnaces and continuous casting are favoring decentralization in general and location near the smaller markets of developing countries in particular. 126 references, 15 tables.

Research Organization:
Massachusetts Institute of Technology, Cambridge
OSTI ID:
5492809
Journal Information:
Mater. Soc.; (United States), Vol. 9:3
Country of Publication:
United States
Language:
English