Recyclable, abundant, and whose exploitation started not that long ago: Aluminium.
- Terraquota
- Apr 2
- 3 min read
This article is part of our “One metal a month” series, in which we explore one strategic metal at a time and its role in the energy transition and global supply chains. These materials are increasingly shaping industrial competitiveness and xgeopolitics, while raising urgent questions about security of supply, recycling, environmental impact and price volatility. This is the March edition of the series.
In early March 2026, aluminium prices on the London Metal Exchange climbed to around $3,544 per tonne, their highest level in four years. The increase followed disruptions affecting shipping routes through the Strait of Hormuz, a strategic corridor for energy and industrial raw materials.
The Middle East alone accounts for roughly 7 million tonnes of annual primary aluminium production capacity, or about 9% of global output, and uncertainty around transport routes quickly triggered concerns over supply. Some companies already suspended production capacity to save existing raw materials, such as Aluminium Bahrain.
Although it is the most abundant metal in the Earth’s crust, it is never found in pure form.
The reaction illustrates the central position aluminium occupies in global industrial systems. Few metals combine such a wide range of properties: it is lightweight yet mechanically resistant, corrosion-resistant, and a strong conductor of heat and electricity (second only to metals such as copper and gold). It is also highly ductile and malleable, which allows it to be rolled, extruded or shaped into a wide variety of forms. In addition, aluminium acts as an effective barrier against moisture, gases and light, a property that explains its extensive use in packaging.
These characteristics have also made aluminium a key component of modern alloys. Combined with other metals, it enhances strength and durability while maintaining a low weight.
Today, aluminium is used across a wide range of sectors, including automative manufacturing and aeronautics (to lighten vehicles, increase energy effiency), construction (for infrastructures, façades, structural elements), electronics (components), and packaging (barrier properties). Demand is expected to grown by 40% by 2030.
Yet aluminium’s industrial importance is relatively recent. Although it is the most abundant metal in the Earth’s crust, it is never found in pure form and must be extracted from minerals, primarily bauxite, which will then be processed into alumina, which will in turn be refined into aluminium. For much of the 19th century, it was extremely rare and expensive to produce, to the point that it was treated as a luxury metal. The turning point came with the development of the Hall-Héroult electrolysis process at the end of the 19th century, which drastically reduced production costs and enabled large-scale industrial manufacturing.
Around 75% of aluminium produced since 1880 is still in use today.
This process also explains the complex value chain behind the production of primary aluminium: it needs raw materials to be processed in several steps, meaning first reserves available, and then mining, processing and refining capacities, which are concentrated in a few countries. The largest aluminium producers today include China ( surprised?), India, Russia, Canada, the United Arab Emirates, Bahrain, Australia, Norway, Brazil and Malaysia, while the main bauxite reserves are located in Australia, China (again, surprised?), Guinea, Brazil and India.
However, one original property of aluminium, compared to other metals, is its environmental prowess of being almost 100% recyclable. It can be remelted and reused without losing its properties. Around 75% of aluminium produced since 1880 is still in use today. Recycling aluminium also provides energy and material savings: it requires only about 5% of the energy needed for primary production and roughly four kilograms of bauxite can be saved for every kilogram of recycled aluminium.
This economic and environmental value explains why recycled aluminium has become a key resource for many industries. Recent market volatility therefore highlights a broader dynamic. Aluminium demand continues to grow across industries, while production remains energy-intensive and dependent on global logistics. It highlights how closely aluminium markets are tied to global trade routes, energy availability and industrial demand, and how sensitive this system can be to geopolitical tensions.
Authored by Diane Naffah (Terraquota), reviewed by Irina Chèvre (Terraquota)
31th March 2026
