Fitch Solutions, a credit intelligence provider under Fitch Group, raised its price forecast of aluminum to US$3,000/ton for 2022 and US$2,800/ton for 2023, compared to the previous forecast at US$2,300/ton and US$2,050/ton for this year and next, respectively.

Aluminum prices have been on an upward trend since China’s economy recovered from the COVID-19 epidemic in the second quarter of 2021. Besides, high energy prices eroded smelters’ profits and impacted the aluminum industry.

However, as the supply problems have been eased slightly, it was expected that aluminum prices will not remain at the current high levels throughout the year.