UK aluminum futures retreat to about $3,270 as Al Taweelah restart eases supply fears

UK aluminum futures fell to around $3,270 per tonne, pulling back from a seven-week high as supply concerns eased. Emirates Global Aluminium reaffirmed that full production at the Al Taweelah smelter would be restored by Q1 next year after output was cut when the site was struck by Iranian missiles and drones in the early stages of the war. The update improved expectations for Middle East supply, a region that accounted for about 10% of global aluminum production before the conflict. Prices had risen recently as weaker feedstock production at Norsk Hydro’s plant in Brazil compounded worries about Gulf supply and uncertainty over a deal that could reopen the Strait of Hormuz, a key export route for regional smelters. Supply pressure also eased after the owners of Australia’s largest aluminum smelter secured a $1.8 billion government bailout to keep the plant operating.

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