Is Investing in Aluminum Recycling for the US Automotive Sector a Strategic Move Now?

16/11/2023
Is Investing in Aluminum Recycling for the US Automotive Sector a Strategic Move Now?
While aluminum recycling gains momentum in the US, Europe remains the leader.
Lack of clear targets and regulations for end-of-life vehicle recycling in the US has so far diverted attention away from aluminum recycling. A major challenge has been the absence of a comprehensive national recycling policy, which lead to inconsistent practices in the individual states. Coupled with limited incentives and relatively low scrap prices, this has diminished the attractiveness of the aluminum recycling market.

Concrete regulatory measures are yet to be established, but akin to the EU, the USA also plan to introduce some export restrictions for scrap.
It can be assumed that recycling aluminum scrap in increased material quality will increase in the USA due to the development of recycling structures and improved sorting technologies.

Considering this, exploring strategic prospects for recycling initiatives and suitable business models in the USA seems promising.
Get in touch with us to explore opportunities together.

Ms Udita Chauhan,
Mail: Udita.Chauhan@schlegelundpartner.de

Schlegel und Partner 2023