The Association has released figures which show that the production of casting and wrought alloys made from aluminium scrap increased by 7.9 per cent to reach an estimated 2.25 million tonnes last year.
Expansion in the aluminium-using industries and, in particular, an upward trend for aluminium applications in the automotive sector has led to increased demand for recycled aluminium.
But the EAA noted that there were some problems with scrap aluminium and said that “margins were not always achieved which represented acceptable levels of profit”.
In its annual report, the EAA said that scrap supplies often failed to keep pace with increasing production. The report said: “A permanent shortfall, partly caused by export restrictions in Russia and the Ukraine, prevailed in the European scrap market, and scrap prices were therefore too high in relation to alloy prices. The prices of casting alloys were not always able to follow the trend mapped out by primary aluminium. The remelters worked quite profitably thanks to high premiums on wrought alloy products.”
The EAA has taken steps to improve statistical information on aluminium recycling in order to improve the industry’s performance. The Association hopes that the data will make it possible to forecast future recycled aluminium supplies compared with primary aluminium supplies.
The Association has also recently set up a new aluminium recycling group to address the importance of recycling in the industry and its significance to sustainable development. The group will initiate and co-ordinate projects relating to aluminium recycling.
Register for free to comment