This week the upstream sector of the aluminium industry, comprising alumina, bauxite and primary aluminium has seen limited but strong incidental happenings that can change the dynamics of the aluminium industry in the coming days. To begin with, following EGA’s footstep Arrow Minerals has also temporarily suspended operations at its Niagara bauxite project in Guinea amid an ongoing dispute over the validity of its mining permits. What will happen next is something to keep an eye for. On the other hand, Canyon Resources expects strong profitability from Minim-Martap owing to both low production costs and also because global demand for aluminium is rising especially due to the EV and aerospace sector. With this, Canyon is making the case that there will be sustained, possibly expanding demand for bauxite and alumina, which strengthens the long-term viability and profitability of the Minim-Martap project. Some other incidents that has created or holds the potential to bring significant changes under the aluminium sector includes –
Downstream Weekly by AL Circle Pvt Ltd
{alcircleadd}
Odisha’s mineral-rich Rayagada district has once again become a flashpoint in the debate over balancing industrial growth with the protection of local communities and fragile ecosystems. Utkal Alumina International Limited (UAIL), a major player in the state’s bauxite sector, is under renewed scrutiny after residents reported increasing levels of dust, noise, and water pollution linked to its operations. To know more, click here.
Alcoa’s Chief Financial Officer, Molly Beerman, outlined the company’s market outlook and strategy at Morgan Stanley’s 13th Annual Laguna Conference. She noted that alumina prices remain steady at around USD 360–370 per tonne, though global supply is expected to be in surplus through late 2025 as new capacity from Indonesia and China comes online. Alcoa anticipates a short-term revenue dip of about USD 70 million due to lower alumina shipments, but highlighted strong aluminium demand in Europe.
Australia’s South32 posted a 75 per cent jump in annual profit, driven by strong alumina operations and higher commodity prices, although the result came in below market expectations. For the year ended June 30, underlying earnings rose to USD 666 million from USD 380 million a year earlier, slightly under the USD 697.7 million forecast by Visible Alpha. Click here to read more.
Under the primary aluminium sector
China’s aluminium industry has long been marked by striking contradictions. In 2024, the country produced nearly 43 million tonnes of primary aluminium (more than half of global output), yet it still imported over 3 million tonnes, primarily from Russia. At the same time, China exported around 6 million tonnes of semi-fabricated aluminium products, cementing its position as the world’s largest supplier of value-added aluminium. Here is the question that is raising concern - why the world’s biggest producer and consumer of aluminium needs to import? Click here to unlock yourself.
Vedanta is moving forward with plans to build a 3 million tonnes per annum (MTPA) aluminium smelter in Dhenkanal, Odisha, a senior company executive has confirmed. The projects, once completed, will double Vedanta’s current aluminium capacity. Rajiv Kumar, CEO of Vedanta’s Aluminium division, said the company is in the process of securing land for the proposed “mega aluminium plant.” Vedanta’s present capacity stands at 3 MTPA, and the new facility will lift its total output to 6 MTPA.
Behind an unassuming office block near Buckingham Palace and London’s Victoria coach station sits Vitol, one of the world’s most profitable yet discreet companies. The privately owned energy trader has delivered average annual net profits of more than USD 12 billion over the past three years—equating to roughly USD 6 million per employee and distributed nearly USD 20 billion to its 600 senior partners through a lucrative share scheme.
In 2025, Greece particularly the city of Thessaloniki will take centre stage for the European and global aluminium surface treatment community as it hosts the industry’s leading international conference. Organised by ESTAL, the Brussels-based European Association for Surface Treatment of Aluminium, the biennial event serves as a benchmark for the sector, uniting scientists, professionals, and senior executives from across Europe.
Québec, which accounts for nearly all of Canada’s output, remains the backbone of this industry and now stands to benefit from significant federal backing as it navigates ongoing US tariffs. Industry Minister Mélanie Joly recently announced that Québec’s aluminium sector could receive “hundreds of millions of dollars” from a USD 5 billion federal fund created to support industries affected by Trump-era trade measures.
Aluminium prices in Asia are steady at around USD 2,615 per tonne, buoyed by a surge in withdrawals from London Metal Exchange (LME) warehouses that has tightened regional supply. Traders reported that nearly 100,000 tonnes were requested for removal from Malaysian depots within just two days, eroding inventories that had only recently climbed to a 14-month high.
The Board of Directors of AluQuébec has appointed Charlotte Laramée as the organization’s new President and CEO. With over 13 years of experience in business development, management, and strategic leadership, especially in the manufacturing and aerospace industries, she brings a wealth of expertise to lead the Aluminium Industrial Cluster toward its next phase of growth and innovation.
LME price update
On Monday, September 8, the LME aluminium cash bid price and official settlement price both opened the week with a slight decline of USD 2.5 per tonne or 0.09 per cent to halt at USD 2,613 per tonne and USD 2,613.5 per tonne. The next day both the prices had climbed up the graph by USD 7 per tonne or 0.26 per cent and USD 7.5 per tonne or 0.28 per cent, respectively. On Wednesday, September 10, both the cash bid price and official settlement price climbed up by USD 3 per tonne and USD 2.5 per tonne. Both cash bid price and official settlement price on Thursday surged by USD 32.5 per tonne or 1.23 per cent
Responses
