On April 28th, the commodity monitoring agency DBX released a report showing that the Jebel Ali aluminum smelter of the United Arab Emirates Global Aluminum Company (EGA), which was affected by the Middle East conflict, is gradually resuming operations and is currently operating at a “near normal” level. At the same time, the operation of other affected aluminum smelters in the Gulf region remains stable, and overall capacity utilization is still constrained by ongoing geopolitical conflicts.
In a report released on Monday, DBX disclosed in detail the recovery situation of the Jebel Ali aluminum smelter through satellite analysis data. It is reported that the current capacity utilization rate of this aluminum smelting plant with an annual output of 1 million tons is between 85% and 100%, with a median of 92.5%, a significant increase from 82.5% a week ago. DBX has found through monitoring that the “thermal activity” in the plant area has increased, which also confirms the gradual recovery trend of its production and operation. It is worth noting that another Tavira smelter under EGA suffered serious damage in the Iranian missile attack and has been effectively shut down. The restoration of the Jebel Ali smelter is of great significance in alleviating regional aluminum supply pressure.
In addition to the Jebel Ali smelter, DBX also evaluated the operation of three other aluminum smelters in the Gulf region affected by the conflict. Among them, Bahrain Aluminum Company, which is one of the targets of Iran’s attack and has an annual production capacity of 1.6 million tons, currently maintains its operating level between 50% and 70%, which is the same as its operating level earlier this month. It is reported that Bahrain Aluminum announced on March 15th the closure of 19% of its production capacity. Previously, due to the closure of the Strait of Hormuz, it encountered force majeure and was unable to ship products normally.
On the Qatari side, Kata Aluminium, which produces 648000 tons annually, is currently estimated to have a production capacity of 55% to 65% of its capacity. This data is consistent with the statement made by the company’s shareholder, Norway’s Hydro, on March 12th – at that time, Norway’s Hydro had stated that Kata Aluminium would maintain operations at 60% capacity. It is reported that Qatar Aluminum had previously initiated an orderly shutdown due to the attack on Qatar’s energy facilities and the interruption of natural gas supply, and is currently maintaining a low load operation.
Based on DBX’s statistical data, the total capacity utilization rate of the four aluminum smelters mentioned above is between 45% and 55%, and the overall operational level has not yet recovered to the pre conflict state. As an important sector of global aluminum supply, the Gulf region accounts for 9% of the world’s total aluminum supply. However, due to the ongoing conflict in the Middle East, the Strait of Hormuz has been closed, causing aluminum producers in the region to face enormous difficulties in importing raw materials and exporting finished metals. This is also one of the core factors limiting the capacity release of local aluminum smelters.
Industry insiders have analyzed that the gradual recovery of the Jebel Ali aluminum smelter has sent a positive signal for the recovery of the aluminum industry in the Gulf region. However, the logistics blockage and unstable energy supply caused by geopolitical conflicts have not been fundamentally resolved, and it is difficult to achieve a significant increase in the utilization rate of aluminum production capacity in the region in the short term. In addition, the Strait of Hormuz, as a key channel for over 90% of aluminum oxide imports and finished aluminum exports in the Middle East, its continued closure may further transmit to the global aluminum industry chain, affecting the global aluminum supply pattern and price trends.
Post time: May-06-2026