Constellium warns EU scrap shortage could halt recycling expansion

Aluminium producer Constellium says it may shelve planned recycling investments across its packaging, automotive and aerospace divisions unless the EU secures reliable scrap feedstock. Chief executive Ingrid Joerg told Reuters the projects could be comparable to or larger than the EUR 130m expansion completed at Neuf-Brisach, France, but will not proceed while scrap continues to be exported outside the bloc.

Why this mattersA sustained EU scrap shortage threatens the feedstock base for aluminium can and packaging recycling, raising costs and slowing decarbonisation plans across the sector.

• Constellium is evaluating several recycling projects across its packaging, automotive and aerospace divisions.
• The potential investments are comparable to or larger than a previous EUR 130m expansion at Neuf-Brisach, France.
• Chief executive Ingrid Joerg said the projects will not proceed without secure scrap supply.
• The European Commission dropped a proposed scrap export duty in favour of limits under waste shipment regulations.
• Joerg expects the EU carbon border levy to raise European aluminium premiums.
• Constellium says its US operations benefit from tariffs and higher domestic scrap retention.

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