According to the latest market data as of February 25, 2026, recent trends in aluminum and steel prices have shown a stark contrast, characterized by “strong aluminum and weak steel.” Aluminum prices have remained firm, supported by tight supply and strong demand from the new energy sector. In contrast, steel prices have been relatively weak, facing dual pressures of high inventory and sluggish demand.

Aluminum prices have generally been operating at high levels recently. Although there was a slight pullback before the holiday, prices rebounded quickly after the holiday, influenced by improved macroeconomic sentiment and declining inventories. Unlike the aluminum market, the steel market experienced a “bearish start” after the holiday, with prices under downward pressure, primarily due to high inventory levels and a slow recovery in demand.

In the short term, the aluminum market may see increased volatility due to macroeconomic sentiment and inventory changes, while the steel market will likely remain dominated by weak fundamentals. The potential for a rebound in steel prices depends on the actual pace of downstream construction site resumption and inventory destocking after the Lantern Festival. In the long run, aluminum prices are supported by strong fundamentals, making them prone to rising rather than falling.