The morning trade witnessed a notable uptick in LME aluminum prices, surging over 2.5%, spurred by reports hinting at a forthcoming wave of US sanctions against Russia. Speculations abound regarding potential targeting of Russia's metals industries amidst geopolitical tensions, echoing previous actions by the UK in restricting trade of physical metals, including aluminum. With the US set to unveil a significant sanctions package on Friday, market anticipation grows, awaiting clarity on its potential impact on the aluminum market and global supply dynamics.
LME aluminum prices surged over 2.5% amid speculation of impending US sanctions against Russia's metals industries, raising concerns about potential disruptions in the global aluminum supply chain.
Recent data from the International Aluminium Association (IAI) indicates a global uptick in aluminum production, with notable increases in output from major producing countries such as China and Asia (ex-China), albeit with more modest gains in Western and Central Europe.
Recent data from the International Aluminium Association (IAI) underscores a broader trend of increased aluminum production globally, with monthly output climbing 2.4% year-over-year to 6.04 million metric tons. Notably, heightened production levels were observed across major producing countries, including a 2.8% year-over-year increase in Chinese output to 3.56 million metric tons. Furthermore, aluminum production in Asia (excluding China) surged by 5.5% year-over-year to 406 thousand metric tons in January. However, Western and Central Europe reported more modest gains, with production edging up by 0.4% year-over-year last month.
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