Global brokerage Citi has reiterated its bullish stance on Vedanta Aluminium despite the stock witnessing weakness after its recent market debut. The brokerage believes that current pressure on aluminium prices is likely to be temporary and expects the metal to remain supported by structural supply constraints in the global market.

According to Citi, global aluminium markets continue to face supply deficits, which should provide support to prices over the medium term. While recent market conditions have led to softer aluminium prices and weighed on investor sentiment, the brokerage expects fundamentals to improve as supply-demand imbalances persist.

The positive outlook comes shortly after Vedanta Group Chairman Anil Agarwal outlined ambitious growth plans for the aluminium business. Agarwal indicated that the company has the potential to double its aluminium production capacity in the coming years, reinforcing its position as one of the largest aluminium producers globally.

Expansion of production capacity could enable the company to benefit from rising demand across sectors such as infrastructure, transportation, renewable energy, and electrical equipment. Higher capacity, coupled with a recovery in aluminium prices, may support future earnings growth and strengthen the company's competitive position in the industry.

Market participants are closely monitoring aluminium price trends, as the metal remains a key earnings driver for the company. Citi's positive view reflects confidence that long-term industry fundamentals remain favorable despite near-term volatility in commodity markets.