Hong Kong stock concept tracking | Two major aluminum plants in the Middle East were attacked, causing overseas premium to reach the highest in 19 years (with concept stocks)

Aluminum is an important industrial metal and one of the most affected non-oil commodities in the Middle East conflict. UAE's Emirates Global Aluminium Company announced on the 28th that its factory in Abu Dhabi was attacked by Iranian forces; Bahrain Aluminium Company confirmed on the 29th that some of its facilities were also attacked by Iran. The Middle East is an important supplier of aluminum, accounting for about 8% to 9% of global aluminum production. The conflict has significantly reduced local production capacity, and the interruption of shipping in the Strait of Hormuz has blocked both the input of raw materials and the export of finished products. According to reports, the three-month aluminum price on the London Metal Exchange has risen by about 10% since the beginning of this year. Citibank analysts previously predicted that if the supply situation deteriorates, the price of aluminum could rise to $4000 per ton, well above the current level of about $3300 per ton. Bahrain Aluminium Company operates the world's largest single-site aluminum smelter with an annual production capacity of about 1.6 million tons. Affected by the blockade of shipping in the Strait of Hormuz, the company announced the phased shutdown of three production lines last weekend, totaling 19% of its total production capacity. This news has driven international aluminum prices to their highest level in four years. In addition, Emirates Global Aluminium Company, one of the world's largest aluminum producers, also confirmed an attack by Iranian forces. The international aluminum spot market has seen a high premium. The premium for aluminum on the London Exchange is around $60 per ton, reaching the highest level in 19 years. Citibank analysts have raised their three-month aluminum price expectations from $3400 per ton to $3600 per ton, and predict that if the supply situation worsens, the price of aluminum could rise to $4000 per ton. Analysts point out that tightening aluminum supply could impact advanced manufacturing supply chains, raising production costs for industries such as automotive, aerospace, and construction. Aluminum industry stocks listed in Hong Kong: RUSAL(00486), Aluminum Corporation Of China(02600), CHINAHONGQIAO(01378), CHUANGXIN IND(02788)