Russia pumped up its aluminum supplies to the EU by 66% in January 2024. Such massive deliveries come as no surprise as aluminum has not been included in anti-Russian sanctions yet. However, experts foresee the odds that aluminum and its alloys will be on the negotiating table of EU lawmakers soon. Anticipating this move, Russia exported to the EU 26,253 tons of the metal to the amount of €59.3 million.
Commodity expert Sergei Grishunin admits that European buyers decided to pile up their inventories before Brussels imposes a complete ban on aluminum imports in the next package of sanctions.
China is a potential key supplier of the metal and its alloys to Europe. Indeed, aluminum factories have been springing up across the country. A brand-new plant in China is designed with a smelting capacity of at least 800,000 tons per year. Moreover, China’s industry can engage another 4 million tons of spare production capacity per year. However, Beijing will be able to provide such output on the condition of vast coal usage. The thing is that Chinese metropolises are reluctant to engage coal facilities.
Meanwhile, European legislators are hesitating to tighten up anti-Russian sanctions, targeting Russian aluminum exporters because the alternative source is still in question.
