Holland International: Aluminum prices rise, influenced by concerns about continuous tight market supply.

The price of aluminum has risen, with Emirates Global Aluminium previously stating that operations at its Al Taweelah production facility may take up to a year to fully recover after being attacked by Iran. In early trading, three-month aluminum futures on the London Metal Exchange rose by 1.1% to $3,505.50 per ton. Analysts at the Netherlands International Group said: "Since the start of the Iran war, LME aluminum prices have risen by more than 10%, reflecting a continuous increase in geopolitical risk premiums, and growing market concerns that interruptions in the Middle East region may sustained supply tightness rather than short-term supply shocks." According to the Netherlands International Group, the shutdown of Emirates Global Aluminium's Al Taweelah smelter, production cuts at Alba, and previous production cuts at Qatalum could lead to an offline capacity of around 3 million tons per year, nearly half of the aluminum production in the Middle East.