Baltimore, MD. (January 22, 2017) — Just weeks into the New Year, aluminum is up 8%.

After a multi-year slump, prices have only inched higher on three catalysts – infrastructure plans in the U.S. and China, an improving supply-demand picture, and recent complaints with the World Trade Organization (WTO), as the U.S. accuses China of providing below-market financing to Chinese aluminum companies allowing them to expand production.

There’s good reason to believe the run will continue especially with increased demand from the auto sector, too. For example, analysts believe auto demand should post another record high this year, driven by China and the U.S., considering the auto industry is among some of the largest aluminum users. In fact, according to Aluminum Insider, it is certain that demand for aluminum automotive sheet will grow at an unprecedented rate.

All as automakers look for light alloys to replace high strength steel and use in electric cars. For electric vehicles, the crucial element is miles per charge. The lighter weight components are crucial to making power charges last much longer.

Technically, aluminum – per the Dow Jones US Aluminum Index – just gapped above prior triple top resistance with all of the excitement. At this pace, the Index could retest a prior high of $117.07 as aluminum pushes higher.

While CENX and AA are up significantly, both are still a buy at market prices. With aluminum prices rocketing, the sky’s the limit.