Aluminium Bahrain Curtails Capacity as Strait of Hormuz Disruption Reshapes Global Supply Dynamics

Aluminium Bahrain (Alba) has initiated a controlled shutdown of three of its smelting lines, reducing around 19% of its total production capacity in response to ongoing disruptions in the Strait of Hormuz.

The company, which has an annual smelting capacity of 1.62 million tons, confirmed that Reduction Lines 1, 2, and 3 have been safely taken offline. The move is part of a targeted strategy to preserve operational stability while supply chains remain constrained.

By concentrating production on Lines 4, 5, and 6, Alba is optimizing the use of its available raw materials, particularly alumina, whose supply has been affected by restricted shipping routes. This approach allows the company to maintain output on its most efficient lines while managing resources more effectively and reducing exposure to short-term volatility.

Earlier in March, Alba declared force majeure after being unable to ship aluminium to customers due to the closure of Hormuz. The disruption has impacted both outbound deliveries and inbound raw material shipments, creating significant pressure on regional producers.

At the same time, the shutdown is being used to carry out maintenance and cleaning activities across the affected lines, ensuring readiness for a safe restart once conditions improve.

Source: wsj.com with additional information added by Glass Balkan

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