Aluminum Prices Surge to Multi-Year High
Interruptions in production and reduced output targets have lifted base metal prices overall. While output growth remained restrained last year, it is forecast to stay muted this year as well. Copper, in particular, played a leading role, underpinning gains across the wider base metals market.
After the initial surge, aluminum steadied at $3,186 per ton on the LME. The metal closed 2025 at $2,995.5, reflecting a 6.4% rise during the first 15 days of 2026.
Commonly used in construction, automotive manufacturing, and packaging, aluminum has taken on growing importance in the green energy transition. Its applications in solar panels, wind turbines, electric vehicles (EVs), and batteries have strengthened demand, while optimism over a global economic rebound has further supported prices.
Expanding investment in artificial intelligence (AI), along with rising demand from data centers, power networks, and the electronics industry, has also contributed to the upward movement in aluminum prices.
China is expected to introduce measures to bolster its economy, including limiting metals production capacity to ease deflationary pressures. Analysts suggest such actions could provide additional upward momentum for aluminum prices.
Zafer Ergezen, a futures and commodities markets analyst, told Anadolu that the new year opened with growing expectations of interest rate cuts.
Ergezen added that expectations intensified as Jerome Powell is set to be replaced by a new Federal Reserve chair to be appointed by US President Donald Trump, while demand for commodities is increasing amid hopes of an economic recovery.
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