Aluminum futures rose more than 1% to around $3,110 per tonne in March, reaching a four-week high amid concerns that escalating Middle East tensions could disrupt key supply routes for regional producers. Shipping flows face heightened risk near Iran, particularly through the strategically important Strait of Hormuz, a critical corridor for exporting metal and importing raw materials such as bauxite and alumina. Hostilities intensified over the weekend following joint US and Israeli strikes on Iran, prompting retaliatory attacks by Tehran across several countries. The Middle East accounts for roughly 9% of global aluminum production capacity. Washington signaled it would continue its air campaign until strategic objectives are met, while Iran responded with successive missile barrages targeting neighboring states, including Saudi Arabia, the UAE, and Bahrain, all significant contributors to global aluminum supply.
