Aluminum Falls on Likely US Tariff Slash

2026-02-13 09:52 By Andre Joaquim 1 min. read

Aluminum futures in the UK fell to $3,050 per tonne, maintaining the pullback since the three-year high of $3,270 on January 28th, following reports that the US is due to reduce their tariffs on the metal.

The Trump administration was planning to scale back tariffs on aluminum that were doubled to 50% last year, to address sticky inflation in for manufacturers.

The move was due to improve the flow of metal into the US in the near term, prompting traders to sell metal from LME warehouses.

Still, aluminum remained higher on the year amid risks to supply.

Output in China is expected to stall after the major producer hit its output cap of 45 million tons last year.

Moves by Chinese smelters to build new alternative plants in Indonesia continued to face troubles amid higher energy costs and local regulations risks.

Meanwhile, high energy costs, equipment failure, and difficulty in sourcing bauxite, suspended key smelters in other countries including Iceland, Mozambique, and Australia.



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