Huatai Securities: It is recommended to focus on companies with overseas electrolytic aluminum capacity deployment.

Golden Ten Data reported on April 10 that Huatai Securities estimates the global primary aluminum supply-demand gaps for 2026 and 2027 will be -949,000 tons and -389,000 tons respectively. The supply-demand deficit remains considerable, and the unique characteristics of electrolytic cell equipment have caused production declines to become a structural change. If the war ends rapidly, supply cannot recover in the short term. On the demand side, the market has previously taken a pessimistic view due to continued high crude oil prices, so Huatai Securities believes that as concerns about the war further ease, the upward momentum of aluminum prices could be further unleashed. In terms of investment targets, it is recommended to focus on companies with overseas primary aluminum production capacity layouts, as they are expected to benefit more directly from the significant surge in overseas aluminum prices during this cycle.