The European Commission is expected to propose an import ban on Russian primary aluminum in its next sanctions package against Russia, according to EU diplomats speaking to Reuters. The 16th EU sanctions package is set to be adopted on February 24.
Already, aluminum products such as wires, tubes, and foils from Russia are banned in the EU, with a share of less than 15% of the total aluminum imports. The planned ban would affect the import of Russian primary aluminum, widely used in the automotive and construction industries.
Informal talks between the EU Commission and member states suggest a step-by-step introduction of the ban, allowing companies to find alternative sources and adjust their supply chains.
The EU has already seen a decline in Russian aluminum imports. From January to October 2024, around 130,000 tons of primary aluminum were imported, accounting for only 6% of the total aluminum imports. In 2022, the share was 19%, and in 2023, it was 11%.
A comprehensive import ban, however, could trigger a more intense competition for aluminum from other regions. The Near East, including the United Arab Emirates and Bahrain, could particularly benefit, as the region produced around 9% of the world’s aluminum in 2024, according to the International Aluminium Institute.
The news of a possible ban led to a surge in the aluminum price on the London Metal Exchange (LME) to a one-month high of $2,602 per ton, before prices later fell back to $2,576.50 per ton.
It remains unclear whether EU member states will accept the sanctions package as planned, with some countries calling for stricter measures and others expressing concerns about the potential impact on the European industry. However, it is clear that the EU intends to maintain the pressure on Russia.