EU plans to limit exports of aluminium scrap

By Philip Blenkinsop

BRUSSELS (Reuters) -The European Commission plans to restrict EU exports of scrap aluminium, to stop the metal flooding out of the bloc and leaving its industry short of an input required to decarbonise, EU trade chief Maros Sefcovic said on Tuesday.

EU exports of aluminium scrap hit a record 1.26 million metric tons in 2024, industry group European Aluminium says, up about 50% from five years ago, with most heading to Asia.

The EU industry says the situation has worsened since, due to U.S. President Donald Trump's import tariffs of 50% for aluminium but only 15% for scrap.

The levies boosted scrap imports into the United States and reduced exports, pushing Asian buyers to focus more on EU supply.

The EU executive began monitoring exports in July and said it would assess whether action was necessary.

"Today ... we are launching the preparatory work on a new measure to address the issue of aluminium scrap leakage," European Trade Commissioner Sefcovic told a conference hosted by European Aluminium in Brussels.

The measure, set to be adopted in spring 2026, would be "balanced", he added, taking into account the interests of producers, recyclers and downstream sectors.

Industry group Recycling Europe, which has opposed restrictions, said it expected recyclers to be fully involved in consultations on any new measures, adding that the Commission's own monitoring had not shown evidence of "scrap leakage".

"We look forward to a fact-based, constructive political discussion," it said.

Besides being a resource for domestic producers, scrap has a vital role in the sector's decarbonisation efforts, since recycling aluminium uses 95% less energy than producing metal from mined bauxite.

(Reporting by Philip Blenkinsop, Editing by Charlotte Van Campenhout, Clarence Fernandez and Ros Russell)