Aluminium prices surge to record highs driven by supply constraints and robust demand. The metal has reached four-year highs on the London Metal Exchange and touched ₹375 per kilogram in India, rebounding sharply after initial geopolitical shocks. Strong consumption from construction, automotive, and packaging sectors combines with supply disruptions in major producing regions to create sustained upward pressure. Rising energy costs have increased production expenses significantly, while investor demand for inflation hedges adds speculative interest. Global supply remains under pressure as major producers face higher costs and stricter environmental regulations, while demand stays resilient across Asia. The structural mismatch between constrained supply and strong demand suggests prices will remain elevated unless new capacity emerges or demand moderates substantially.
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