
Cracking the code on affordable electricity for smelting
Debates are underway on how to get more supply to electric grids
Debates are underway on how to get more supply to electric grids
“The European aluminum recycling value chain is facing a critical situation, which is vastly amplified by the recent doubling of US Section 232 tariffs to 50%,” European Aluminum stated.
Join AMU experts Greg Wittbecker and Nicholas Bell on Thursday, September 25 at 11 a.m. ET
There are plenty of opportunities to make money in scrap
July's producer price index (PPI) and manufacturing survey (M3) data show an aluminum sector that looks steady on paper but is shrinking once inflation is stripped away, with costs cascading unevenly through the supply chain.
Volatile LME spreads may not directly dictate physical aluminum prices, but with tight inventories, rising Midwest premiums, and traders creating "artificial contangoes", financing costs are increasingly being pushed into the physical market.
The widening gap between scrap costs and value-added premiums is making secondary aluminum casthouses look far more attractive - time for a rethink.
U.S. aluminum buyers and sellers are bracing for a bruising 2026 contract season as tariffs, tight supply, and shifting scrap economics threaten to push Midwest premiums and upcharges to unprecedented levels.
Recycling rates are just one of the factors at play when considering scrap export bans
A court found in favor of Kaiser Aluminum in a lawsuit in which the aluminum producer sued U.S. Magnesium over a breach of contract.