Citigroup: Supply concerns have driven up aluminum prices, and the medium and long-term outlook is promising
June 19, 2025
Foreign media reported on June 17th: Citigroup analysts pointed out in a report that the current aluminum price level cannot stimulate sufficient supply growth to meet demand in the next 1 to 5 years. If the price remains the same, the market may face a supply shortage.
The bank predicts that by 2030, the aluminium price needs to remain above $3,000 per ton for a long time in order to stimulate the necessary new production capacity.
Although the short-term market is suppressed by the strengthening of the US dollar, high energy costs, limited production capacity in China and global green transition demands (such as electric vehicles and renewable energy) still support the long-term bullish logic of aluminum prices.
On Tuesday, the price of three-month aluminium on the London Metal Exchange (LME) rose by 1.5% to $2,552 per ton.
