Iran’s Aluminium Production Declines Despite Gains in Raw Material Output

Iran’s aluminium production declined in the first 11 months of the Persian calendar year (ending February 18), totaling 552,185 tonnes, down from 582,200 tonnes a year earlier. The drop, representing a 5% year-on-year decline, comes even as the country’s bauxite and alumina production increased, according to data from state-owned holding company IMIDRO.

The country’s four major producers—South Aluminium Corporation (SALCO), Iran Aluminium Company (IRALCO), Almahdi Aluminum Company, and Iran Alumina Company (IAC)—continued production despite economic challenges and international sanctions. SALCO led with 222,397 tonnes, followed by IRALCO at 160,237 tonnes, Almahdi at 138,915 tonnes, and IAC contributing 30,636 tonnes.

Meanwhile, IAC ramped up output of key raw materials, producing 212,520 tonnes of alumina powder, 358,485 tonnes of aluminium hydrate, and 725,335 tonnes of bauxite. These figures reflect year-on-year increases of approximately 3%, 3%, and a notable 35%, respectively.

Industry analysts suggest that the surge in raw material production could pave the way for a rebound in aluminium output in the coming months. However, supply chain disruptions and geopolitical uncertainties remain hurdles for the sector.

“Higher bauxite and alumina output is a good sign,” said one market observer. “It could help Iran’s aluminium sector get back on its feet if operational bottlenecks are addressed.”