Aluminum prices fell back from a high level and short-term recommendations are mainly wait-and-see

For Rusal, according to people familiar with the matter, the White House is considering three options: one is to completely ban imports, the other is to raise tariffs to punitive levels, and the third is to sanction Rusal United, which produces aluminum, according to data statistics, the United States will import about 200,000-250,000 tons of Rusal in 2021
.

Earlier, the London Metal Exchange also claimed to be rolling out a document discussing whether and under what circumstances to ban new supplies
of Russian metals.
If Europe and the United States impose sanctions on Rusal, it will have a wide impact on the global aluminum market, and the supply and demand pattern of the global aluminum market may undergo certain changes
.

Fundamentally, aluminum plants in Sichuan, Guangxi and other regions are still in the process of slowly resuming production, and the new production capacity in Inner Mongolia and Guizhou is also being released, while electrolytic aluminum enterprises in Yunnan have generally reduced production by 20%, and there is a possibility
that local production cuts will expand again.

On the demand side, stimulated by policy measures such as infrastructure support and guaranteed handover of buildings, consumption may be marginally good, but the epidemic interference in many places in China may interfere with aluminum consumption and transportation
.
In the short term, the fundamentals of domestic aluminum prices still have some support, and if supply continues to tighten or consumption improves significantly, aluminum prices are expected to get a phased boost
.
However, the current US dollar liquidity shock and the expected strengthening of weakening global terminal demand are still the market's concerns, and short-term recommendations are mainly
wait-and-see.