Damascus, Sept. 10 (SANA) Fallout from the U.S.-Israeli-Iranian war is disrupting global aluminum supplies, cutting production in the Gulf and pushing prices higher as concerns grow over tightening supplies of the metal widely used in transport, construction, packaging and power infrastructure.
Emirates Global Aluminium’s Al Taweelah site, one of the world’s largest smelting complexes, sustained significant damage in an Iranian missile and drone attack on March 28, forcing an emergency shutdown. The facility produced about 1.6 million metric tons in 2025, while restoring full production is expected to take about 12 months.
In Bahrain, Aluminium Bahrain, or Alba, began a controlled shutdown of production lines representing about 19 percent of its annual capacity of 1.623 million tons because of shipping disruptions in the Strait of Hormuz.
Gulf countries produced 6.16 million tons of aluminum in 2025, accounting for about 8 percent of global output of 74 million tons, according to U.S. Geological Survey data. The production capacity affected in the UAE and Bahrain amounts to roughly 4.4 percent of global supply.
The disruption is also affecting major importers. The United States relies on imports for about 60 percent of its primary aluminum consumption, with Gulf producers accounting for roughly 21 percent of those imports. The European Union and Japan also rely significantly on Gulf supplies, according to S&P Global data.
Prices rise as supplies tighten
Aluminum prices on the London Metal Exchange rose to $3,492 a ton following the attacks, nearing four-year highs. Regional premiums also climbed, with the European premium rising 16 percent and the U.S. Midwest premium reaching a record 106.55 cents per pound.
Aluminum is a key input across major industries, including transport, aircraft manufacturing, electric vehicles, construction, electrical networks and packaging, leaving a broad range of sectors exposed to prolonged supply disruptions.
The International Aluminium Institute says the metal’s production chain relies on interconnected stages, from bauxite mining and alumina refining to smelting, meaning disruptions at integrated facilities such as Al Taweelah can affect several stages of production.
Market observers say continued geopolitical tensions and slower growth in global supply could keep the aluminum market under pressure, raising production costs and adding further strain to global supply chains.
FJ/MF
