Spain is facing a supply crisis as geopolitical tensions in the Middle East disrupt more than 30% of its aluminum imports. Production halts at Qatar’s Qatalum and Bahrain’s Aluminium Bahrain (Alba) have removed millions of tons from the global market, leaving Spanish processors with high uncertainty regarding raw materials.

Spain’s aluminum sector, worth over EUR 4.4 billion and employing 17,000 people, depends on the Gulf for nearly 23% of its primary aluminum. Shipping delays through the Strait of Hormuz and rising insurance costs now squeeze the automotive and construction industries.

Spanish companies face the dual threat of rising costs and production stagnation as global competitors with lower prices continue to expand their market share.