The global aluminium and steel industry faced another renewed set of disruptions when the US trade policy took another unexpected turn. Just a day after a Federal Court temporarily blocked the implementation of tariffs, sparking global optimism, President Donald Trump swiftly countered the decision by doubling the tariff from 25 per cent to 50 per cent which took shape from Wednesday, June 4. Following the outbreak of this announcement, major aluminium and steel producers and exporters around the world began evaluating the impact of the steep hike. India, ranked among the top 10 aluminium exporters in the United States, estimates that its metal exports, valued at USD 4.56 billion, could face significant challenges. Let’s have a look at how the week went by in detail.
The United States has officially doubled its tariffs on imported steel and aluminium products, raising the duty from 25 per cent to a steep 50 per cent, and effective June 4. The move was announced by President Donald Trump, who aimed to bolster the domestic metals industry, but it has sparked widespread concern across global markets. Click here to learn more.
The US tariff hike to 50 per cent on June 4 triggered an immediate reaction in the physical market, with the US Midwest duty-paid premium surging by 4.85 per cent the following day, rising to USD 973 on June 5 from USD 928 the day before. President Donald Trump’s decision to double tariffs on aluminium and steel from 25 per cent to 50 per cent has intensified tensions across the global metals industry, particularly among nations heavily dependent on cross-border trade. Click here to read more.
The Trump administration has momentarily defused a brewing economic crisis by postponing the implementation of the proposed 50 per cent tariffs on European Union exports until July 9, 2025. While the rest of the world began facing the steep tariff rates on aluminium and steel from June 4, this temporary reprieve for the EU followed what was described as a productive conversation between President Trump and European Commission President Ursula von der Leyen. Read more.
Aluminium prices saw an uptick in the futures market on June 5, 2025, as traders ramped up their positions in response to encouraging spot market signals. On the Multi Commodity Exchange (MCX), July aluminium futures rose by 5 paise to INR 242.10 (USD 2.82) per kilogram. This upward movement reflects positive market sentiment, driven by growing demand and speculative interest, indicating short-term confidence in aluminium’s performance. To know more, click here.
Saudi Arabian mining giant Ma’aden is on the verge of gaining full control of its integrated aluminium operations after receiving key regulatory approval to acquire Alcoa’s 25.1 per cent stake in two major joint ventures. On June 2, the Capital Market Authority (CMA) greenlit Ma’aden’s offer to purchase Alcoa’s shareholdings in both the Ma’aden Aluminium Company (MAC) and the Ma’aden Bauxite and Alumina Company (MBAC), marking a significant step toward consolidation. Click here to read the full context.
Other significant events under the primary aluminium
Negotiations between India and Oman on the proposed Free Trade Agreement (FTA), formally known as the Comprehensive Economic Partnership Agreement (CEPA), are making steady progress. Commerce and Industry Minister Piyush Goyal has signalled that encouraging developments are likely to emerge soon. Read more here.
National Aluminium Company Limited (NALCO), a ‘Navratna’ company under the Schedule ‘A’ category of CPSEs, announced on Thursday, June 5, that its INR 30,000-crore capital expenditure plan for smelter expansion with captive power is still on track. This announcement was made to clarify the previous announcement that NALCO would delay the project by approximately a year.
Under the bauxite segment
India is poised to maintain its status as the world’s second-largest primary aluminium producer, achieving a record-high monthly output in April, the opening month of FY2025-26. Provisional data reveals robust year-on-year growth in both primary aluminium and its key raw material, bauxite. While bauxite production surged with a double-digit increase, aluminium output registered a modest uptick, collectively highlighting a strong and sustained growth momentum in the country’s metal and mining sector.
In the wake of Guinea’s revocation of bauxite mining permits, Emirates Global Aluminium (EGA) is turning its attention to Ghana for new bauxite prospects. As reported on June 4, the UAE-based aluminium giant has signed an agreement with the Ghana Integrated Aluminium Development Corporation (GIADEC) to evaluate the feasibility of bauxite exploration in the West African nation.
Australian mining company Metro Mining Limited has reported a 26 per cent year-on-year increase in bauxite shipments for May 2025, reaching 671,934 wet metric tonnes (WMT). This marks a continuation of the company’s upward trend in shipment volumes as it progresses toward its annual target of 6.5 to 7 million WMT. The May figures follow a strong performance in April, when shipments totalled 424,730 WMT, up 12.2 per cent from the previous year. Read more here.
According to SMM calculations, China’s domestic bauxite production in May 2025 (31 days) saw a 5.0 per cent month-on-month increase and a 19.1 per cent rise year-on-year. Looking ahead, production may face some constraints as several mines are currently undergoing environmental protection inspections, which could potentially impact output in the near term. Read more here.
Jamaica’s Minister of Agriculture, Fisheries and Mining, Hon. Floyd Green, has reaffirmed the government’s dedication to revitalising the country’s bauxite and alumina sector—a key pillar of the national economy despite years of decline. Speaking at the Bauxite/Alumina Industry Day hosted by the Jamaica Bauxite Institute (JBI) at Hope Gardens in St. Andrew, Minister Green highlighted the administration’s plans to adopt a more proactive role in enhancing operational efficiency and attracting fresh investment to strengthen the industry. Click here to know more.
Western Yilgarn has strengthened its bauxite asset portfolio with the acquisition of the Cardea 3 Bauxite Project in Western Australia’s Darling Range for $25,000. The deal, completed following vacuum drilling, includes an initial cash deposit and a subsequent payment in company shares. Located around 17.5 km east of Western Yilgarn’s existing Julimar West Bauxite Project, which holds an estimated 168 million tonnes of bauxite, Cardea 3 adds strategic value to the company’s expanding resource base. Read more here.
The Ghana Bauxite Company Limited (GBC) has clarified that its primary objective in constructing a state-of-the-art alumina refinery is to process low-grade bauxite that has been overlooked by international markets. This clarification comes in the wake of GBC’s announcement to fast-track the refinery’s development, aligning with its broader strategy to boost domestic bauxite processing capacity and lessen Ghana’s dependence on foreign refineries. Read more here.
Under the alumina segment
The United States has just faced a major shock to its aluminium industry. A toxic disaster, long brewing in Gramercy, Louisiana, home to Atalco, the nation’s last operating alumina refinery, has now erupted into a full-scale environmental and regulatory crisis. This situation highlights issues of corporate concealment, environmental injustice, and regulatory neglect. More critically, it serves as a stark warning about the vulnerabilities threatening America’s aluminium security. Click here to read more.
Alpha HPA has reached a major milestone in the development of its Stage Two High Purity Alumina (HPA) First Project in Gladstone, awarding a flagship concrete works contract worth over $20 million to McCosker Contracting. As one of the region’s leading civil construction firms, McCosker will play a central role in constructing the advanced HPA facility, leveraging its strong local expertise and skilled workforce to bring the project to life. Click here to know more.
The Ghana Bauxite Company Limited (GBC), located in Awaso in the Western North Region, is set to revolutionise the local industry with plans to establish a state-of-the-art alumina refinery. This ambitious initiative aims to significantly boost domestic processing capacity and reduce Ghana’s dependence on foreign refineries, marking a decisive step toward fully harnessing the country’s abundant bauxite resources.
India Potash Ltd and JM Baxi Ports and Logistics have joined forces in a strategic joint venture with Hindalco Industries Ltd, the flagship metal company of the Aditya Birla Group. Together, they aim to develop India’s first fully automated and sustainable alumina handling facility, marking a significant step forward in modernising the country’s industrial logistics infrastructure. To know more, click here.
Century Aluminum is advancing its push for energy independence at the Jamalco alumina refinery in Jamaica, with the installation of a steam power generation turbine set for completion by year-end. Once operational, the turbine will make the refinery fully self-sufficient in power, significantly cutting operating costs by reducing dependence on external energy providers.