Aluminum prices surged after Iranian strikes on major Gulf producers raised fears of a global supply disruption. Futures on the London Metal Exchange briefly jumped over 5% to near 2022 highs before easing, according to CNBC.
The report said drone and missile attacks targeted Emirates Global Aluminium and Aluminium Bahrain, with significant damage reported at a key smelter and injuries confirmed. The strikes come as the Strait of Hormuz remains effectively closed, restricting exports from a region that supplies about 9% of global aluminum.
Iran's attacks on aluminum producers are sending 'shockwaves' through the metals market https://t.co/SOAMeT0QvI
— CNBC (@CNBC) March 30, 2026
Analysts warned the attacks could trigger a sustained supply crunch. S&P Global said the incident sent “shockwaves” through the market, while Macquarie estimated production losses could push the industry into deficit next year.
Aluminum is critical for sectors such as construction and electronics. While China could increase output, experts said its ability to offset disruptions remains limited, leaving markets exposed if the conflict escalates further.
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