Alumina producers advance after Norway's Norsk Hydro announces production cut

National Aluminium Company (NALCO) (up 7.50%), Hindalco Industries (up 2.43%) and Vedanta Aluminium Metal (up 0.43%) edged higher.

Based in Norway, Norsk Hydro is a vertically integrated aluminium company having alumina refining operations in Norway. The company is one of the largest alumina producers in the world.

As per media reports, Norsk Hydro has cut its Alumina output at its Alunorte refinery to 50% of its capacity, citing gas shortage as the reason for production cut. The said unit had produced 6.3 MT of Alumina in 2025.

Alumina prices are now 10% of Aluminium, compared to the average of 14% to 16%. The global Alumina market is reportedly said to be in a 1.6 MT surplus in 2026 and a 0.5 MT surplus in 2027. The cut in capacity is positive for Alumina prices.

Higher Alumina prices is beneficial for companies like NALCO, Hindalco Industries and Vedanta Aluminium.

In Q1 FY27, NALCO recorded its highest-ever Q1 calcined alumina production at 5.77 lakh tonnes while sales volume of alumina/hydrate stood at 3.47 lakh tonnes. .

Hindalco Industries' Utkal Alumina refinery recorded production volume of 654 kilotons in the June'26 quarter.

Vedanta Aluminium Metal had reported Alumina production volumes of 826 kilotons for the first quarter of FY27.

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