Switzerland Adopts EU’s Russian Aluminium Ban in Sanctions Alignment

Russian aluminium

Federal Council Moves to Restrict Russian and Belarusian Aluminium Imports

Switzerland has adopted the EU’s Russian aluminium ban, aligning with Brussels’ 16th sanctions package targeting Moscow’s industrial exports. The Focus Keyphrase "Switzerland Russian aluminium ban" marks a significant shift in Swiss trade policy, historically characterized by neutrality, as the country intensifies its stance against Russian aggression.

The Federal Council announced it will implement all remaining relevant EU sanctions, including a ban on Russian primary aluminium imports and a prohibition on chromium ore exports to Russia. These measures aim to reduce materials that contribute to Russia’s military and technological advancement. Switzerland imported approximately 173,000 tonnes of unwrought Russian aluminium in 2023, according to Global Trade Tracker.

Belarusian Aluminium Also Targeted as Sanctions Widen

In parallel, Switzerland will enforce additional sanctions on Belarus, citing its complicity in the Ukraine war. These include a ban on Belarusian primary aluminium imports and expanded restrictions on dual-use and military-enhancing goods.

The Council emphasized that aligning sanctions with the EU is intended to prevent circumvention via Belarus, ensuring a more unified and effective European sanctions regime. This harmonization reduces the risk of Russian commodities entering EU markets indirectly through Swiss or Belarusian channels.

Strategic Impact on European Aluminium Supply Chains

The Swiss ban on Russian aluminium imports adds further pressure on Europe’s primary aluminium supply, which is already constrained by energy costs and limited regional production. Traders and manufacturers must now reassess sourcing strategies, particularly for unwrought aluminium, as the region seeks alternatives from non-sanctioned producers such as Norway, Canada, and the Middle East.

Meanwhile, the ban on chromium ore exports to Russia may impact specialty alloy production and stainless steel supply chains, especially those tied to aerospace and defense markets.

The Metalnomist Commentary

Switzerland’s adoption of the Russian aluminium ban underscores a growing consensus in Europe on restricting key industrial imports tied to Moscow. As sanctions converge and enforcement tightens, metals traders and manufacturers will need to recalibrate logistics and risk strategies in a rapidly evolving geopolitical landscape.

Japan’s Aluminium Imports Decline Due to Weaker Demand in Automotive and Construction Sectors

Japanese aluminium imports saw a significant decrease in June, both on a monthly and yearly basis, driven by reduced demand in the automotive and construction industries. According to customs data, aluminium imports fell by 16.5% month-on-month and 14.3% year-on-year to 84,770 tons in June. This brought the total volume for January to June down by 4.5% year-on-year to 506,818 tons.

The Japan Aluminium Association (JAA) reported a 0.7% year-on-year decrease in the production of aluminium goods in June, totaling 144,775 tons. This decline followed three consecutive months of production growth. Domestic sales of aluminium products also fell by 3.2% year-on-year to 144,944 tons in June. Overall, the total production of aluminium goods in the first half of the year fell by 2.9% year-on-year to 826,365 tons, continuing a three-year downward trend.

The automotive industry, a significant consumer of aluminium, faced reduced demand due to car-testing scandals involving faulty safety data. Major manufacturers such as Daihatsu, Toyota, and Mazda suspended production for periods during the first half of the year to address issues with vehicle safety certification data. Consequently, total passenger vehicle output dropped by 9.8% year-on-year to 3.7 million units from January to June.

In the construction sector, the use of aluminium products fell by 10% to 172,438 tons in the first half of the year. This decline was attributed to project delays caused by rising material and labour costs and a preference for new materials over aluminium for window frames.

Additionally, Japan's imports of secondary aluminium alloy ingots (ADC12) were 77,414 tons in June, down by 2% month-on-month and 24% year-on-year, according to the finance ministry.

European Aluminium Renews Call for Aluminium Scrap Export Restrictions

European Aluminium Scrap

Push for Export Fees to Protect Recycling Industry

European Aluminium has issued its third call this year for restrictions on aluminium scrap exports from the EU. The industry body urged policymakers to impose export fees, arguing that such measures would help secure more scrap for European recycling facilities. According to the association, stronger controls could stimulate investment, boost remelting capacity, and close the loop within Europe under strict environmental and social standards.

Impact of Scrap Shortages on EU Producers

The push comes as secondary aluminium alloy producers struggle with squeezed profit margins, driven by high scrap costs and rising European energy and labor expenses. Scrap availability has tightened as generation slowed in automotive, construction, and manufacturing sectors, while exporters in India and Asia raised purchase prices. European Aluminium reported that around 15pc of recycling furnace capacity is currently idled due to insufficient scrap supply, warning that unchecked exports risk undermining the bloc’s sustainability goals.

The Metalnomist Commentary

The repeated call from European Aluminium highlights the tension between global scrap demand and Europe’s recycling ambitions. Export restrictions could secure domestic feedstock, but they may also trigger retaliatory measures and complicate global trade. The EU must balance industrial resilience with open-market principles if it aims to lead in the circular economy transition.

Japan’s Aluminium Imports See Sharp Decline in August

Japan’s Aluminium

Japan experienced a significant drop in aluminium imports in August, both compared to the previous month and the previous year, due to a combination of slower demand, logistical issues, and disruptions caused by the late-August typhoon. The storm's impact, along with a suspension of construction projects, hit the domestic aluminium product market particularly hard.

Imports of primary aluminium fell by 15% month-on-month and by 10% year-on-year, reaching 85,992 tonnes. For the January-August period, total aluminium imports reached 693,627 tonnes, a 2.6% decline compared to the same period last year, according to customs data.

Production and Sales Impact

The Japan Aluminium Association (JAA) reported that domestic production of aluminium products in August also saw a 6.1% year-on-year decrease, producing 116,567 tonnes. Domestic sales were similarly affected, decreasing by 9.6% to 119,119 tonnes. This decline in sales is attributed to delayed construction plans following Typhoon Shanshan and decreased beverage consumption, which JAA links to rising living costs.

However, not all sectors faced declines. Car production in July increased by 3.3% year-on-year to 811,981 units, showing some resilience in automotive demand. In contrast, new housing projects fell slightly by 0.2%, reflecting a more subdued demand in the construction sector.

Japan’s imports of secondary aluminium alloy ingots (ADC12) were also down by 5% from the previous month, totaling 90,895 tonnes in August, according to the finance ministry.

India Aluminium Quality Control Rules Tighten for 2025 Rollout

India aluminium

Government Targets Low-Quality Imports with Stricter Compliance Measures

India aluminium quality control measures will become stricter from October 2025, as the government enforces a new Quality Control Order (QCO). The regulation targets several aluminium and alloy products, including welded irrigation tubes, EC-grade rods, and wrought bars under specific Indian Standards (IS 733:1983, IS 5484:1997, IS 16011:2012). This initiative seeks to prevent substandard imports from neighboring countries.

Phased Implementation and Enterprise Exemptions

The India aluminium quality control regulation includes exemptions for small and micro enterprises. Small businesses can continue importing non-compliant aluminium products until January 2026, while micro enterprises have until April 2026. Research and development imports of up to 200kg also remain exempt if not commercially sold. This phased implementation ensures a smoother industry transition without major supply disruptions.

Export-Focused Adjustments and Domestic Safeguards

The latest amendment allows exemptions for select imported aluminium products, while the 2024 amendment previously exempted domestically manufactured aluminium destined for export. Therefore, the policy balances trade facilitation with domestic industry protection. India aluminium quality control frameworks now aim to raise product standards, reduce unfair competition, and align with broader industrial policy goals.

The Metalnomist Commentary

India’s aluminium QCO signals a broader industrial strategy that protects domestic producers while encouraging higher-grade imports. The transition period for SMEs reflects pragmatic governance, though it will require vigilance to prevent circumvention via R&D or micro-business loopholes.

Alba and Daiki Partner on Aluminium Dross Recycling Venture in Bahrain

Aluminium Bahrain (Alba), one of the world's largest aluminium producers, has announced a strategic partnership with Japanese alloy producer Daiki Aluminium Industry to establish an aluminium dross processing business in Bahrain. The collaboration aims to enhance sustainability by reducing waste from Alba's smelting operations.

The two companies have signed an initial agreement to form a joint venture that will construct a state-of-the-art aluminium dross processing facility. This new plant will focus on recovering aluminium metal from the dross—an industrial byproduct of smelting—generated at Alba's operations. By recycling this material, the venture will not only reduce waste but also support Alba's and Bahrain's broader sustainability goals.

Alba's chief executive, Ali Al Baqali, emphasized the significance of the partnership, stating, "This joint venture will serve as a model for sustainable aluminium production, demonstrating the power of collaboration to drive positive change."

While the announcement marks a significant step forward for both companies, details regarding the timeline for the facility's construction and commissioning remain undisclosed. Additionally, the financial specifics of the project have not been provided.

The partnership between Alba and Daiki highlights a growing trend in the aluminium industry towards sustainable practices and efficient resource management. As global demand for aluminium continues to rise, initiatives like this are becoming increasingly important in minimizing the environmental impact of production processes.

China Expands Copper and Aluminium Duty Exemptions for 2025

Recycled Copper

In a bid to promote sustainable growth, China has announced expanded import duty exemptions on recycled copper and aluminium feedstocks for 2025. This change is part of the country’s broader strategy to bolster green and low-carbon development in its metal industries. The move reflects China’s ongoing efforts to ease restrictions on secondary copper and aluminium imports, which could have significant implications for both domestic and international markets.

Expansion of Duty Exemptions

Under the new policy, China will expand the HS code 74040000 to include “recycled copper and alloy feedstock” for 2025, up from just "recycled brass copper feedstock" and "recycled copper feedstock" in 2024. Similarly, the HS code 76020000 will also broaden to cover “recycled aluminium and alloy feedstock” from the previous scope of "recycled cast aluminum alloy feedstock" in 2024. The import duties for both categories will remain at zero for 2025, continuing the exemptions in place for 2024.

This expansion is intended to enhance the country’s circular economy and support the shift toward greener practices in the recycling and processing of metals. According to China’s Ministry of Commerce, the adjustments will help promote low-carbon development, driving demand for sustainable production methods.

The move follows an increase in China’s copper scrap imports, which saw a 14% rise from January to November in 2024 compared to the previous year, signaling a positive trend for the country's metal recycling sector.

Continued Duties on Other Base Metals

While China is easing import duties on certain recycled metals, the government has decided to keep export duties on various base metals, minor metals, ferro-alloys, and rare earths in place for 2025. This includes maintaining the 40% export duty on ferro-chrome, a 25% duty on silico-manganese and ferro-silicon, and a 20% export duty on ferro-manganese. These duties align with China’s broader objective of controlling the export of energy-intensive and pollution-heavy products.

The country will also continue with export duties on a variety of concentrates, such as lead, zinc, tantalum, and niobium, as well as a 20% duty on tin, tungsten, and antimony concentrates, which are less frequently exported due to China’s limited domestic resources of these metals. Additionally, China will maintain duties on several metals, including a 5-15% export duty on copper, nickel, and zinc alloys and products.

China's new policy also includes a zero import duty on spodumene for 2025, marking another significant move in its strategic approach to securing key raw materials for its growing battery and electronics industries.

LME Approves Hong Kong as a Warehouse Location, Strengthening China’s Metal Supply Chain

LME Hong Kong

A Strategic Move to Expand Market Access

The London Metal Exchange (LME) has officially approved Hong Kong as a warehouse location, providing a new entry point into China, the world’s largest metals consumer. This development allows LME-registered metals, including aluminium, copper, lead, nickel, tin, zinc, and aluminium alloy, to be stored in Hong Kong. As a result, the city is set to become a critical hub for LME-warranted metal storage once warehouse companies receive approval in the next three months.

Enhancing Connectivity to the Chinese Market

LME Chief Executive Matthew Chamberlain highlighted the importance of this expansion, stating that Hong Kong’s proximity to China makes it a natural hub for metals trade and logistics. The move strengthens the LME’s global warehousing network, which currently includes 465 approved warehouses in 32 locations worldwide. The exchange considers various factors, including regulatory frameworks, fiscal conditions, and transport infrastructure, when approving new locations.

Despite this progress, efforts to establish LME warehouses in mainland China have faced regulatory challenges. Both China’s regulators and the Shanghai Futures Exchange (SHFE), a key competitor to the LME, have resisted these moves. Nevertheless, the approval of Hong Kong presents an alternative solution, allowing international metal traders better access to the Chinese market.

Strong Market Interest in Hong Kong as a Metal Hub

The LME has received strong interest from warehouse operators, landlords, and metal owners regarding Hong Kong’s listing as a metals delivery point. This approval is expected to increase liquidity and provide a more efficient supply chain for global metals traders. As the first warehouse companies gain approval, Hong Kong is likely to play a pivotal role in global base metal storage and distribution.

By positioning Hong Kong as an LME metal storage location, the exchange strengthens its presence in Asia, bridging the gap between international metal markets and China’s growing demand. This move not only benefits global traders but also reinforces Hong Kong’s status as a key financial and logistics hub in the metals industry.

Hoshine Silicon Metal Output Surges with Export Growth and Industrial Demand

Hoshine Silicon Metal

Record Production Reflects Strong Global and Domestic Market Support

Hoshine silicon metal output surged to 1.87 million tonnes in 2024, a 38% increase from the previous year. The Chinese producer also boosted sales by 21% to 1.23 million tonnes amid strong demand from the polysilicon and aluminium alloy sectors. Exports grew 29% to 725,000 tonnes, driven by renewed interest from global buyers, while domestic use climbed 22%, including a 25% rise in the polysilicon segment.

Silicon Market Strengthens as China’s PV Sector Expands

The broader Chinese silicon metal market also expanded, with national production reaching 4.72 million tonnes—up 28% year-on-year, according to CNIA data. Contributing to this growth was a 28% increase in installed photovoltaic (PV) capacity in the first half of 2024, reaching 277.57GW. This surge supported greater silicon demand, particularly in renewable energy and industrial alloy applications.

2025 Outlook: Efficiency Over Expansion

Despite 2024 growth, Hoshine warns of lower polysilicon run rates in 2025 due to surplus capacity and weak wafer demand. As a result, silicon metal demand may taper off. However, Hoshine plans to phase out outdated equipment and invest in energy efficiency upgrades. In 2024, its silicon metal production operated at 153% capacity utilization due to technology enhancements and recovery improvements. The firm also holds 1.73 million t/yr of organosilicon capacity.

The Metalnomist Commentary

Hoshine’s output expansion highlights China’s silicon dominance in both energy and industrial applications. Yet, rising inventories and softer wafer demand in 2025 may shift the focus from volume to operational efficiency. Strategic upgrades and export growth remain crucial for sustaining competitiveness.

Rusal Launches Scandium Oxide Pilot Plant to Boost Russia’s Rare Earth Capabilities

Rusal

New Facility at Bogoslovsky Smelter to Produce Scandium from Red Mud, Potentially Expanding Global Supply by 75%

Rusal Sets Up Pilot Scandium Plant at Krasnoturinsk Smelter

Russian aluminium giant Rusal has announced the launch of a pilot scandium oxide facility at its Bogoslovsky aluminium smelter in Krasnoturinsk, Russia, aiming to produce 1.5 tonnes per year of scandium oxide. Given the global scandium output of just 20–25 t/yr, this project marks a major addition to global capacity.

Rusal plans to extract scandium from red mud, a waste by-product of alumina refining, using proprietary technology developed at its Krasnoyarsk Engineering and Technology Center. This contrasts with conventional scandium sources, which are typically by-products of titanium dioxide or uranium production.

If scaled to full commercial operation, the plant could eventually produce up to 19 t/yr of scandium oxide, placing Rusal among the world’s top producers of this high-value rare earth element.

Scandium Alloy Demand Rising Across Aerospace and 3D Printing Sectors

Scandium oxide is used to create aluminium-scandium alloys for ultra-lightweight structural components in ships, aircraft, railcars, and additive manufacturing (3D printing). These alloys enhance strength while reducing weight—making them highly desirable in aerospace and defense applications.

Rusal’s investment in the pilot project totals 500 million roubles ($5.73 million), with commissioning expected by year-end 2025. The project also aligns with broader geopolitical trends, including Russia’s renewed push to increase rare earth production. President Vladimir Putin has recently emphasized rare earths as a strategic priority for the country.

Russia Eyes Rare Earth Deals Despite Sanctions Landscape

On 25 February, Russia signaled its willingness to cooperate with the U.S. on developing rare earth assets, despite ongoing geopolitical tensions. This scandium oxide initiative positions Rusal—and Russia more broadly—as a significant player in non-Chinese rare earth supply chains, especially as nations look to diversify sources of strategic minerals.

Canadian October Aluminum Output Declines Year-on-Year but Remains Ahead for 2023

Canadian aluminium

Canada's molten aluminum and aluminum alloy production in October 2023 saw a slight decline compared to the same period last year. According to government data, total production reached 277,600 metric tonnes (t), down from 283,600t in October 2022. The decrease was attributed to a dip in molten aluminum production, which fell to 274,100t from 280,200t. However, aluminum alloy production increased marginally by 60t to 3,464t.

Despite the month-over-month decline, Canada's year-to-date aluminum production for 2023 stood at 2.785 million tonnes, surpassing the 2.715 million tonnes produced in the same period last year, highlighting sustained growth in overall output for the year.

Canada's Key Role in U.S. Aluminum Supply Chain

Canada continues to play a critical role in supplying aluminum to the United States. In October, Canada accounted for over two-thirds of the 354,600 tonnes of unwrought aluminum imported by the U.S., delivering approximately 241,400 tonnes, according to Census Bureau data. This underscores Canada’s significance in meeting U.S. demand for primary aluminum and aluminum alloys, which are vital to industries like automotive, aerospace, and construction.

Dong-A Special Metal Pioneers with CCAW Production Amid Market Shifts

Copper Clad Aluminium Wire (CCAW)

Dong-A Special Metal has marked a significant innovation in the metals industry by initiating production of Copper Clad Aluminium Wire (CCAW), responding strategically to the surging and fluctuating copper prices. This new venture aims to establish a robust presence beyond traditional metal forms like bar stock and ingots, focusing instead on specialized wire products.

Advancing with Copper and Aluminum Integration

The Korean-based company's success in producing CCAW—a bimetallic product that melds the lightness of aluminum with the conductivity of copper—is positioning it as a cost-effective alternative to pure copper wires. CCAW is over 50% lighter and costs about half as much as copper while achieving over 90% of copper's conductivity. This makes it suitable for high-frequency applications and a potential replacement for copper in global industries such as electronics, where it is used in fan motors, transformers, TVs, and refrigerators.

Particle Analysis

The shift comes at a time when many industries are seeking alternatives to expensive copper, with aluminum emerging as a viable substitute despite its lower electrical and thermal conductivity. Dong-A Special Metal move to produce CCAW is particularly significant as it provides a Korean-made source amidst high tariffs on Chinese imports imposed by the Trump administration, underlining the importance of diversifying supply sources.

Expanding Product Lines and Markets

Furthermore, Dong-A Special Metal is expanding its product range to include commercial production of titanium and nickel wires, set to begin this year. These products will be available in dimensions ranging from 14mm to 60mm for titanium and 2mm to 18mm for nickel, targeting specialized sectors such as aerospace, defense, shipbuilding, and chemicals. The company has also equipped itself to produce 1,000 tons of CCAW annually, ranging from 2.6mm to 16mm in diameter, with a copper content of 15%.

The company representative stated plans to utilize the same facilities for titanium and nickel alloy (Invar, Inconel 625, 718) wire products, intending to supply these critical materials to key industries involved in national defense and advanced technology applications.

Financial Moves and Future Directions

Dong-A Special Metal has recently chosen Korea Investment & Securities as the lead manager for its upcoming IPO, accelerating its growth strategy through funds raised from various investors, including BNW Investment, which has invested in Ecopro since 2022. The total investment secured so far is $23.48 million, setting a solid foundation for further expansion and innovation.

Novelis Achieves Breakthrough Hydrogen Test for Aluminium Recycling at Latchford Plant

Novelis

Hydrogen Melting Furnace Cuts Carbon Emissions by Up to 90%

Net Zero Innovation Portfolio and HyNet Project Drive Industry Decarbonisation

Novelis, a leading US-based aluminium rolling and recycling company, has successfully tested hydrogen as a fuel for a recycling furnace at its Latchford, UK facility. The company reported that using hydrogen in the melting process can reduce carbon emissions by up to 90% compared to conventional methods.

Hydrogen Technology Supports Major UK Decarbonisation Initiatives

These tests were conducted under the UK’s Net Zero Innovation Portfolio and the regional HyNet project, both of which focus on low-carbon hydrogen production and industrial CO₂ capture. Novelis has participated in HyNet since 2017, supporting the shift to greener metals manufacturing across northwest England and north Wales.

The firm will now expand hydrogen-based, recycled alloy production processes at multiple European plants. Novelis also plans to publish results as part of the UK Industrial Fuel Switching programme later in 2024, sharing key findings with industry partners.

Latchford Expansion Doubles UBC Recycling and Cuts Emissions

In July 2023, Novelis announced a $90 million investment to more than double the Latchford plant’s used beverage can (UBC) recycling capacity. New equipment—including a dross house, shredding and melting systems—will boost recycling capacity by 85,000 t/year and lower annual carbon emissions by over 350,000 tonnes.

This hydrogen breakthrough supports Novelis’ broader push for sustainability and could drive innovation across global recycling operations. Latchford plant manager Allan Sweeney emphasized that these results will inspire further hydrogen research and deployment company-wide.

China's Magnesium Sector Faces Oversupply and Price Challenges Despite Rising Output

China's Magnesium

China’s magnesium industry, which accounts for a staggering 83% of the world’s magnesium production, is grappling with challenges of oversupply and volatile prices, according to insights shared at the 27th annual conference of the China Magnesium Association (CMA) held in Xi'an.

Decade-Long Capacity and Utilization Issues

Over the past decade, China’s magnesium production capacity has ranged between 1.3 million and 1.5 million tonnes per year (t/yr). However, actual output has lagged behind at 800,000 to 1 million t/yr, resulting in an average utilization rate of just 63%, according to data from the China Nonferrous Metals Industry Association (CNMA).

Dependence on Traditional Sectors

The sector’s primary consumption is still tied to traditional industries like aluminium alloys, steel, and titanium sponge. Attempts to diversify into new applications, such as magnesium alloy construction sheets, consumer electronics, and new energy vehicles, have been slow. This limited innovation has contributed to an oversupply and pushed magnesium prices to near production costs.

Shifting Trends in Titanium Sponge Production

The use of magnesium in titanium sponge production has declined due to its environmental impact and price volatility. According to Jiang Baowei, lead engineer at Pangang Vanadium and Titanium Resources, many producers now use in-house magnesium obtained through electrolysis of titanium tetrachloride residue, reducing environmental pollution and stabilizing costs. In 2023, China’s titanium sponge production capacity reached 220,000 t/yr, supported by 250,000 t/yr of in-house electrolytic magnesium production.

Rising Production Amid Challenges

Despite these hurdles, China’s magnesium production rose to 702,900 tonnes during January-September 2024, an 18% year-on-year increase, fueled by resumed production in Shaanxi, the country’s largest magnesium-producing region. Output in Shaanxi grew by 14%, while neighboring Shanxi saw a 10% rise. Shaanxi alone houses 50 producers with a combined capacity of 678,000 t/yr, including 34 producers in Fugu County.

CMA’s Call to Action

Ge Honglin, CNMA president, urged the industry to emphasize magnesium’s benefits as a light structural metal and explore emerging markets like hydrogen storage and new energy vehicles. He also called for price stabilization to ensure affordability and reduce market volatility.

Sustainable Production Gains

The industry has made strides in energy efficiency, reducing the energy required to produce 1 tonne of magnesium from 5.2 tonnes of standard coal in 2012 to just 4 tonnes in 2023. Over the same period, magnesium consumption in structural materials more than doubled to 192,100 tonnes, contributing to a sharp rise in overall consumption, up by 76% since 2012.

China’s magnesium sector continues to grow in global prominence, but it faces an urgent need to diversify its applications, reduce environmental impacts, and stabilize pricing to maintain its leadership in the global market.

Elkem’s Silicon Product Sales Decline Amid Weak Demand

Elkem’s

Norwegian silicon and ferro-alloy producer Elkem reported an 11% year-on-year drop in silicon product sales during the third quarter of 2024, reflecting decreased demand in key markets such as silicone, aluminium, and steel. Sales for the quarter totaled 96,000 tons (t), down from 108,000t a year earlier and 13.5% lower than the previous quarter (April-June).

Falling Prices in Europe and Beyond

Silicon and ferro-silicon prices saw declines in the third quarter due to weak end-user demand, particularly in Europe.

• Ferro-silicon: Prices started the quarter at €1,430-1,500/t (ddp NWE) and fell 7% to €1,330-1,390/t, averaging €1,415/t for the period. Prices have continued to drop in October amid ongoing weak demand from steel markets.
• Silicon: Prices remained flat but appear to have reached a floor in Europe, aligning with stabilization in China that led to production cuts in southern regions. Despite this, further declines are possible, especially given a bleak outlook for January-March 2025.

Financial Performance and Divisional Trends

Elkem’s overall EBITDA for the third quarter doubled year-on-year to NOK1.2bn ($109.6mn), driven by improved performance in its silicones division. However, January-September EBITDA fell 5% year-on-year to NOK2.9bn.

• Silicone Sales: Increased significantly to 105,000t, up from 77,000t a year earlier.
• Carbon Solutions: Sales dipped slightly to 68,000t, down from 69,000t.

Carbon Capture Advancements

In October, Elkem secured NOK20mn in EU funding for its Sicalo carbon capture project, supplementing an earlier NOK31mn grant from Norway's environmental enterprise fund, Enova. This funding supports Elkem’s efforts to enhance sustainability in its operations.

Outlook

While silicones provided a strong counterbalance, weak silicon product and ferro-silicon demand continues to challenge Elkem’s performance. The company is focusing on innovation, including its carbon capture initiatives, to navigate challenging market conditions and prepare for future growth.