Aluminum giant RUSAL is continuing to restructure its raw material supply chain. The company is developing plans for an alumina complex in Indonesia, seeking to establish a stronger foothold in the Pacific region and reduce its dependence on former sources lost after 2022. It marks the company’s third major move in Asia in recent years.
After losing control of the Mykolaiv Alumina Refinery, facing a ban on raw material imports from Australia, and reducing output at Ireland’s Aughinish refinery, RUSAL lost access to around 4 million tonnes of alumina per year. Since then, the company’s strategy has focused on diversification and moving away from vulnerable supply routes.
The Indonesian project fits into that strategy. The country has substantial bauxite reserves and is seeking to expand domestic processing, creating favorable conditions for a potential partnership.
RUSAL has already made two notable moves in the region. In 2023, the company agreed to acquire a 30% stake in China’s Hebei Wenfeng New Materials. In 2025, it announced plans to gradually acquire up to 50% of Indian alumina producer Pioneer Aluminium Industries. The next step is now the construction of its own complex in Southeast Asia.
Indonesia could become a new raw material anchor for RUSAL in the Pacific Basin. Following a series of supply losses, the company is steadily rebuilding its supply chain, shifting its focus from Europe toward Asia, where both raw materials and end markets are available.
Source: @nerzhavey
Image: Alexander Manzyuk / TASS
