The price of aluminum futures on the London Metal Exchange (LME) increased by 3.1% to $3,379.8 per ton by 15:00 CET. During the session, the price exceeded $3,400 for the first time since April 2022.
Aluminum Bahrain (Alba, one of the largest aluminum producers in the Middle East) on Wednesday declared force majeure on its contracts, as it cannot ship aluminum products.
"This is due to the situation in the Strait of Hormuz, through which we cannot ship. That's why we continue to produce, but the metal is here in Alba," he told Reuters.
According to AZ China, the Middle East accounts for about 9% of global aluminum production.
A more detailed overview of global production
