Aluminum Scrap Markets

January 20, 2026
EU targets small packaging in new recycling partnership
Written by Stephanie Ritenbaugh
Two European trade organizations are partnering to target another objective in aluminum recycling: small packaging such as coffee capsules, dairy lids, and chocolate foils.
The European Aluminium Foil Association (EAFA) is working with the Flexible Packaging Europe (FPE) to help improve the collection, sortation, and recycling of these items.
The partnership is forming ahead of the European Union’s (EU) Packaging and Packaging Waste Regulation (PPWR), which is set to take effect in mid-2026.
The EU generally has high aluminum recycling rates, outpacing the United States. European Aluminum, the region’s trade association, reported a 75% beverage can recycling rate for 2024 across the EU plus the UK, Iceland, Norway, and Switzerland. The US posted only a 43% recycling rate, according to the Aluminum Association and Can Manufacturers Institute.
Small packaging, however, remains more more challenging. Some facilities are equipped to separate these items for recycling, but that is not the case everywhere, the EAFA noted.
“A substantial share of these products currently ends up in incineration and is only partially recovered through bottom ash treatment—a process that will not meet the future ‘recycled-at-scale’ requirements under the PPWR,” the Düsseldorf-based association said.
In addition, the spread of deposit-return programs in Europe has removed beverage containers from household recycling streams, providing an opportunity to shift focus toward other packaging formats in sorting plants, the EAFA added.
The move also comes as the EU considers ways to keep more scrap within its own borders. Organizations in both the US and in the EU have called for tighter restrictions on scrap exports.
In September, Belgium-based European Aluminum wrote a letter urging the European Commission to impose fees on scrap exports, which reached a record high of 1.2 million tonnes in 2024.
Between January and June 2025, scrap exports to the US surged by almost 200% compared to the previous year, according to the association.
That surge is largely driven by the 50% Section 232 tariffs, which exclude scrap, making it an appealing substitute for primary aluminum units, particularly after this year’s sharp rise in primary costs and the Midwest delivery premium.
“This alliance provides a shared foundation to improve collection, sorting, and recycling in a targeted way,” Guido Aufdemkamp, executive director of EAFA said in a statement. “Together, we will identify the respective bottlenecks in waste management which hinder a good recycling performance and conduct relevant studies supporting practical implementation of measures. We also rely on the experience in our network of national aluminium recycling organisations and other existing initiatives to put in practice the necessary actions.”
Sixteen companies have agreed to participate: Actega, Al Invest, Aluminium Féron, Alupak, Amcor, Bel Group, Constantia Flexibles, Datwyler, Delica, Formika, JDE Peet’s, Laminazione Sottile, Lindt, Nestle Nespresso, Speira, and Symetal.


