Global Trade

10 January 2025
Week In Review- The importance of aluminum to the global economy
Written by Gabriella Vagnini
This week showed just how important aluminum is to the U.S. and global economy. Talks about new Trump tariffs are focusing on protecting American manufacturers from unfair competition, especially from China, while building stronger partnerships with allies like Canada. The goal is to ramp up domestic production and recycling, invest in infrastructure, and secure affordable energy for aluminum smelters. These steps aim to create jobs, reduce reliance on foreign materials, and keep aluminum a key part of our economy, national security, and innovation.
Demand for aluminum is picking up, with North American numbers up 4.6%, thanks to higher exports and fewer imports. Here at home, investments in recycling and production are stepping up. Recovery is adding a new furnace in Alabama, and Golden Aluminum is building a low-carbon mini mill in Colorado. At the same time, ARZYZ Aluminum in Mexico is expanding its capacity and scrap processing, which could shift trade dynamics, especially with U.S. tariffs and taxes in play.
The aluminum market is heating up. Prices are climbing because of tight supplies and strong demand, both globally and here in the U.S. LME stock levels are the lowest since May, and big players like Aluminum Bahrain are hitting record production numbers. Companies like Vitol are cutting storage costs, while others are leaning into low-carbon and sustainable production to stay ahead.
Aluminum supports over 160,000 direct jobs and brings $92 billion into the economy, just another way to show how important this industry is vital. Whether it’s through innovation, sustainability, or stronger domestic production, these moves are setting aluminum up to stay competitive and keep driving progress in the U.S. and beyond.
Economic highlights
Monthly U.S. federal budget | Monday, Jan. 13 | 2 p.m. Eastern |
Producer price index | Tuesday, Jan. 14 | 8:30 a.m. Eastern |
Fed beige book | Tuesday, Jan. 14 | 2 p.m. Eastern |
Consumer price index | Wednesday, Jan. 15 | 8:30 a.m. Eastern |
Initial jobless claim, U.S. retail sales, import price index | Thursday, Jan. 16 | 8:30 a.m. Eastern |
Industrial production, capacity utilization | Friday, Jan. 17 | 9:15 a.m. Eastern |