Aluminium moved through the $US3000-a-tonne mark for the first time in more than three years, helped by a more constrained supply backdrop and expectations that consumption will stay strong over the longer term. Limits on smelting growth in China and reduced output in parts of Europe, where electricity remains expensive, have contributed to leaner stockpiles globally. The metal also logged a strong 2025, with futures rising 17%, its best annual performance since 2021.
Other industrial metals also attracted buying.
Copper extended its advance after notching its largest yearly gain since 2009, with traders continuing to focus on supply conditions. Nickel jumped after Vale Indonesia temporarily stopped mining operations while waiting for regulatory sign-off on its work plan. The company said approval should arrive soon and does not expect the delay to materially affect its operations.
Market attention on Indonesian output has increased after signals the country intends to trim production this year.
Copper disruption adds to market nerves
Copper’s late-2025 surge pushed it to repeated record levels and made it the standout performer among the six major LME-traded industrial metals.
Supply interruptions were a recurring theme in 2025, with incidents reported at mines across Indonesia, Chile and the Democratic Republic of the Congo. Separately, concerns around tariffs encouraged traders to increase deliveries into the US.
In Chile, workers at a Capstone Copper-run mine in the north began industrial action on Friday, pressing for improved terms as prices remain elevated.
On the London Metal Exchange, copper closed 0.4% higher at $US12,469.50 a tonne. Aluminium added 0.7% to $US3015.50, extending its run of gains to three sessions. Nickel rose 1% after recording its strongest monthly rise in December since April 2024.