LME 3M aluminium prices came under pressure after the U.S. tariff announcement on 2 April, driven by concerns over weakening global demand and rising trade uncertainty. High tariffs are expected to disrupt Southeast Asia’s exports of aluminium products to the U.S., dampening primary aluminium consumption. Risk-off sentiment also led to long liquidation, further weighing on prices.

The return of U.S. aluminum tariffs under Trump’s administration has reignited global trade tensions, affecting supply chains and market trends. While tariffs aim to support domestic production, the U.S. still relies heavily on imports, driving up aluminum prices and raising costs for industries like automotive, construction, and packaging. Despite government backing, primary aluminum production remains limited, with recycling and secondary output expected to become more important. Global trade patterns may change as key suppliers like Canada look for new markets, while uncertainty over U.S. trade policies keeps market sentiment cautious.

This week the upstream sector of the global aluminium industry witnessed many significant events. News of new highs, marginal misses, financial results, etc, have kept the industry on its toes.

According to customs data, China’s unwrought aluminium alloy imports were 112,900 mt in December 2023, up 22.3% YoY and 1% MoM, bringing up total imports in 2023 to 1.1325 million mt, down 11.4% YoY.

The macro front remained bearish. Fed governor said interest rate cuts should be carried out cautiously and orderly.

According to customs data, in November 2023, China’s unwrought aluminium alloy imports were 111,800 mt, up 5.6% YoY and 2.6% MoM, bringing up total imports from January to November 2023 to 1.0196 million mt, donw 14% YoY.

According to the latest customs data, China imported 108,900 mt of unwrought aluminium alloy in October, up 9.2% YoY and 17.5% MoM.

According to customs data, China’s import volume of unwrought aluminium alloy in October 2023 was 108,900 mt, up 9.2% YoY and 17.5% MoM, bringing total imports in the first ten months of 2023 up to 907,800 mt, down 15.9% YoY.

According to the latest data from the General Administration of Customs: China’s exports of unwrought aluminium and aluminium semis in October 2023 were 440,300 mt, a year-on-year decrease of 8.1% and a month-on-month decrease of 6.59%.

China's unwrought aluminium and aluminium semis exports by month