In the era of global interconnection, we are no longer an island. On February 24, 2022, conflict broke out in Russia and Ukraine, and with it, the world economic system was affected. Aluminum on the London Metal Exchange (LME) rose to $3,449 per ton on the same day, a 22-year high, with a single-day increase of up to 4.74%. The price of aluminum sheets was affected for a time.
According to the latest news, Russia has declared war on Ukraine. Although the United States has promised not to send troops, there will be a series of sanctions against Russia in the future. Russia is a major producer of aluminum (aluminum sheet), and the restriction of the United States will inevitably lead to a tight supply of aluminum sheets in the world. Before that, the supply of aluminum sheets in the world has shown a tense trend. Under the sanctions again, the price of aluminum sheet plates is expected to break through a record high.
Russia is a major raw material for aluminum products, of which aluminum production accounts for about 6% of the world's aluminum production. Data shows that in 2018, Rusal was sanctioned, and aluminum prices rose by 35%. Aluminum prices rose by 42% in 2021, and have continued to rise by 17% since the beginning of 2022. However, the normal supply of Rusal has a certain relationship with the manufacturing industry in some parts of the world. Under this situation, the probability of aluminum sheet plate sanctions is small.
At present, in the context of the conflict between Russia and Ukraine, the price of aluminum sheet plates is easy to rise and difficult to fall!