The global Aluminium Sheet market displays divergent trends across major regions as market dynamics evolve differently in China, Germany, and the United States during January 2025. The variations reflect distinct regional challenges, from pre-holiday destocking in China to trade policy implications in Western markets.

Key Takeaways

• Chinese Aluminium Sheet market affected by pre-holiday destocking
• European market influenced by potential Russian import bans
• US market responding to possible tariff implementations
• Global inventory levels showing regional variations
• Trade policies significantly impacting market direction

The Chinese Aluminium Sheet market experienced downward pressure where prices decreased by 1% in January, primarily influenced by the approaching Chinese New Year holiday period. Social inventories of aluminium in major domestic consumption areas fluctuated throughout the month, with initial decreases followed by rebounds. The Aluminium Sheet sector saw moderate trading activity, with downstream buyers showing limited interest in stockpiling ahead of the holiday season.

German Aluminium Sheet prices demonstrated strength by 0.7% increase in prices amid supply chain concerns and geopolitical tensions. The European Union's consideration of banning Russian aluminium imports has created uncertainty in the supply chain, prompting manufacturers to secure additional inventory. High alumina prices and energy costs have further supported the upward trend in Aluminium Sheet prices, particularly affecting European producers.

The US Aluminium Sheet market showed 0.7% increase in prices despite trade policy uncertainties. The potential implementation of new tariffs on imports from Canada and Mexico has created market speculation, while domestic producers like Alcoa reported strong shipment forecasts for 2025. The Aluminium Sheet sector has been particularly impacted by discussions surrounding low-carbon aluminium supply chains and their potential disruption.

Global trade flows for Aluminium Sheet products continue to face challenges from various policy measures. The US market's reaction to potential tariffs, combined with Europe's consideration of Russian import bans, has created a complex trading environment. These factors have led to shifts in traditional supply patterns, with manufacturers increasingly focused on securing reliable supply chains.

As per ChemAnalyst, the Aluminium Sheet market outlook remains cautiously optimistic, with regional variations expected to persist through early 2025. Recovery in China is anticipated post-Chinese New Year, while European prices will likely remain sensitive to energy costs and Russian import policies. The US market's trajectory will largely depend on the implementation of proposed tariffs and their impact on North American trade flows. Market stabilization will require resolution of current trade uncertainties, normalization of energy costs, and sustained demand from key end-use sectors.