Aluminium Bahrain To Cut 19% of Total Production Capacity

Aluminium Bahrain (Alba), one of the world’s largest aluminium smelters, announced on Sunday that it has initiated a shutdown of three of its aluminium smelting lines as a precautionary operational measure in response to ongoing supply and transit disruptions affecting the Strait of Hormuz.

The company said the temporary shutdown affects facilities representing approximately 19 percent of its total production capacity, which currently stands at 1,623,000 metric tonnes per annum.

According to the company, the move is aimed at preserving business continuity and strengthening operational resilience in the face of uncertainties linked to supply chain disruptions in one of the world’s most critical maritime energy corridors.

In a statement, Alba explained that the decision forms part of a broader strategy to manage the impact of logistical challenges and market volatility.

The company said the measure will help maintain stable operations, manage working capital prudently, and develop alternative sourcing and supply arrangements to reduce exposure to short-term supply risks.

Alba emphasized that the shutdown process is being implemented in a controlled and safe manner, with careful planning to minimize potential risks related to health, safety, environmental protection and operational integrity.

“The controlled and safe shutdown is being executed in a way that safeguards the long-term performance of the affected assets while ensuring that operational and environmental standards are maintained,” the company noted.

The Strait of Hormuz, a strategic waterway linking the Persian Gulf with the Arabian Sea, is a vital global shipping route for energy supplies and raw materials. Disruptions in this corridor can have significant implications for industrial supply chains across the Gulf region.

Alba said it is closely monitoring developments and remains prepared to respond to changing circumstances. The company added that it will provide further updates to the market as appropriate.

In the meantime, Alba confirmed it is working closely with suppliers and customers to manage contractual commitments and mitigate the impact of potential disruptions on its operations and deliveries.

Industry observers note that the company’s proactive step reflects the growing emphasis among Gulf industrial producers on risk management and supply chain resilience, particularly amid geopolitical uncertainties affecting critical shipping routes in the region.