QatarEnergy, the state-owned shareholder of Qatar aluminium producer Qatalum, has suspended the production of aluminium as the conflict between Iran, Israel and the US intensified, it said on Tuesday March 3.

European and US primary aluminium premiums could see further upside pressure on supply concerns following the closure of the Strait of Hormuz, a key transit corridor for Middle Eastern aluminium exports and alumina imports.

The escalating tensions between Iran and Israel since Saturday February 28 have heightened market concerns over potential disruptions to maritime trade routes, particularly the Strait of Hormuz – a key transit corridor for Iranian material shipments bound for China.