Global aluminum prices reached their highest levels in nearly four years. Geopolitical conflict in the Middle East triggered significant supply shocks.
Disruptions at Gulf region smelters and Strait of Hormuz bottlenecks curtailed global supply. Production shocks removed an estimated 2 million tons of annual capacity.
The global market shifted from a projected surplus into a significant deficit. Low inventories and high energy costs pushed physical delivery premiums to record highs in Europe and the U.S. Analysts characterize the situation as a structural disruption rather than a temporary spike.