U.S. Secondary Aluminum Market Analysis and Forecast to 2025

U.S. Secondary Aluminum Market Reached $5.6B

The revenue of the secondary aluminum market in the U.S. amounted to $5.6B in 2018, remaining relatively unchanged against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, secondary aluminum consumption continues to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2014 with an increase of 4.7% against the previous year. Secondary aluminum consumption peaked at $5.9B in 2015; however, from 2016 to 2018, consumption failed to regain its momentum.

Secondary Aluminum Production in the U.S.

In value terms, secondary aluminum production totaled $5.5B in 2018. In general, secondary aluminum production continues to indicate a relatively flat trend pattern. The growth pace was the most rapid in 2014 when production volume increased by 4% y-o-y. Secondary aluminum production peaked at $5.8B in 2015; however, from 2016 to 2018, production remained at a lower figure.

Exports from the U.S.

In 2018, the amount of secondary aluminum exported from the U.S. totaled 5K tonnes, jumping by 83% against the previous year. In general, secondary aluminum exports, however, continue to indicate a drastic slump. The pace of growth was the most pronounced in 2018 when exports increased by 83% year-to-year. Over the period under review, secondary aluminum exports attained their peak figure at 13K tonnes in 2013; however, from 2014 to 2018, exports failed to regain their momentum.

In value terms, secondary aluminum exports stood at $16M (estimates) in 2018. Over the period under review, secondary aluminum exports, however, continue to indicate a deep setback. The most prominent rate of growth was recorded in 2018 when exports increased by 51% y-o-y. Over the period under review, secondary aluminum exports attained their maximum at $39M in 2013; however, from 2014 to 2018, exports failed to regain their momentum.

Exports by Country

Brazil (2.4K tonnes) was the main destination for secondary aluminum exports from the U.S., with a 48% share of total exports. Moreover, secondary aluminum exports to Brazil exceeded the volume sent to the second major destination, Indonesia (607 tonnes), fourfold. The third position in this ranking was occupied by South Korea (440 tonnes), with an 8.9% share.

From 2013 to 2018, the average annual rate of growth in terms of volume to Brazil stood at +119.3%. Exports to the other major destinations recorded the following average annual rates of exports growth: Indonesia (+60.2% per year) and South Korea (-27.7% per year).

In value terms, Brazil ($5.2M) emerged as the key foreign market for secondary aluminum exports from the U.S., comprising 32% of total secondary aluminum exports. The second position in the ranking was occupied by Italy ($1.5M), with a 9% share of total exports. It was followed by South Korea, with a 7.8% share.

From 2013 to 2018, the average annual growth rate of value to Brazil amounted to +109.7%. Exports to the other major destinations recorded the following average annual rates of exports growth: Italy (+24.3% per year) and South Korea (-23.6% per year).

Export Prices by Country

The average secondary aluminum export price stood at $3,234 per tonne in 2018, dropping by -17.5% against the previous year. Over the period under review, the export price indicated a measured expansion from 2013 to 2018: its price increased at an average annual rate of +2.0% over the last five-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2018 figures, secondary aluminum export price increased by +54.1% against 2015 indices. The most prominent rate of growth was recorded in 2016 an increase of 37% y-o-y. The export price peaked at $3,919 per tonne in 2017, and then declined slightly in the following year.

There were significant differences in the average prices for the major foreign markets. In 2018, the country with the highest price was Italy ($9,690 per tonne), while the average price for exports to Indonesia ($1,868 per tonne) was amongst the lowest.

From 2013 to 2018, the most notable rate of growth in terms of prices was recorded for supplies to Italy, while the prices for the other major destinations experienced mixed trend patterns.

Imports into the U.S.

In 2018, approx. 37K tonnes of secondary aluminum were imported into the U.S.; jumping by 7.7% against the previous year. Over the period under review, secondary aluminum imports continue to indicate an outstanding expansion. The pace of growth appeared the most rapid in 2014 when imports increased by 50% year-to-year. Imports peaked in 2018 and are likely to see steady growth in the near future.

In value terms, secondary aluminum imports amounted to $115M (estimates) in 2018. Over the period under review, the total imports indicated buoyant growth from 2013 to 2018: its value increased at an average annual rate of +21.0% over the last five years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2018 figures, secondary aluminum imports increased by +128.3% against 2013 indices. The growth pace was the most rapid in 2014 when imports increased by 37% y-o-y. Over the period under review, secondary aluminum imports attained their maximum in 2018 and are expected to retain their growth in the near future.

Imports by Country

In 2018, South Korea (20K tonnes) constituted the largest secondary aluminum supplier to the U.S., with a 52% share of total imports. Moreover, secondary aluminum imports from South Korea exceeded the figures recorded by the second-largest supplier, Australia (7K tonnes), threefold. China (3.1K tonnes) ranked third in terms of total imports with an 8.3% share.

From 2013 to 2018, the average annual growth rate of volume from South Korea amounted to +111.9%. The remaining supplying countries recorded the following average annual rates of imports growth: Australia (+8.1% per year) and China (+17.9% per year).

In value terms, South Korea ($48M) constituted the largest supplier of secondary aluminum to the U.S., comprising 41% of total secondary aluminum imports. The second position in the ranking was occupied by Australia ($22M), with a 19% share of total imports. It was followed by Germany, with a 13% share.

From 2013 to 2018, the average annual growth rate of value from South Korea totaled +90.5%. The remaining supplying countries recorded the following average annual rates of imports growth: Australia (+11.6% per year) and Germany (+6.4% per year).

Import Prices by Country

In 2018, the average secondary aluminum import price amounted to $3,077 per tonne, increasing by 13% against the previous year. Overall, the secondary aluminum import price, however, continues to indicate a temperate contraction. The pace of growth was the most pronounced in 2018 when the average import price increased by 13% y-o-y. Over the period under review, the average import prices for secondary aluminum attained their peak figure at $3,490 per tonne in 2013; however, from 2014 to 2018, import prices remained at a lower figure.

Prices varied noticeably by the country of origin; the country with the highest price was Germany ($6,441 per tonne), while the price for Venezuela ($2,072 per tonne) was amongst the lowest.

From 2013 to 2018, the most notable rate of growth in terms of prices was attained by Australia, while the prices for the other major suppliers experienced more modest paces of growth.

The report provides a detailed analysis of the U.S. secondary aluminum market. It presents the latest data of the market size and volume, domestic production, exports and imports, price dynamics and turnover in the industry. In addition, the report contains insightful information about the industry, including industry life cycle, business locations, productivity, employment, and many other crucial aspects. The Company Profiles section contains actual data on the major players in the industry.

Companies mentioned:

• Smelter Service Corp.,
• J.L. French Automotive Castings,
• Ffs Incorporated,
• Trialco,
• TST Inc.,
• Ohio Valley Aluminum Company,
• Metal Powder Products,
• Allied Metal Co.,
• Tower Extrusions,
• SRT Investments,
• Blue Ridge Metals Corporation,
• Scepter,
• C-Koe Metals,
• Joe W Morgan,
• Ampal,
• Interlock Industries,
• Audubon Metals,
• Thorock Metals,
• Superior Aluminum Alloys,
• R Lavin & Son IncRecycling Services of Indiana,
• Eccomelt, Imco Recycling of Loudon Inc,
• Spectro Alloys Corporation,
• Texas Tst,
• Tower Metal Products L.P.,
• Gnw Aluminum,
• Metalico Aluminum Recovery,
• Stiefel Aluminum,
• Kentucky Smelting Technology,
• Imco Recycling of Ohio,
• Quality Molded,
• Century Aluminum of South Carolina

Data coverage:

• Secondary aluminum market size;
• Secondary aluminum production, value of shipments;
• Key market players and their profiles;
• Exports, imports and trade balance;
• Import and export prices;
• Forecast of the market dynamics in the medium term;
• Key industry statistics;
• Life cycle of the secondary aluminum industry;
• Number of establishments and their locations;
• Employment data;
• Secondary aluminum industry productivity.

Reasons to buy this report:

• Take advantage of the latest data;
• Find deeper insights into current market developments;
• Discover vital success factors affecting the market.

This report is designed for manufacturers, distributors, importers, and wholesalers, as well as for investors, consultants and advisors.

In this report, you can find information that helps you to make informed decisions on the following issues

1. How to diversify your business and benefit from new market opportunities
2. How to load your idle production capacity
3. How to boost your sales on overseas markets
4. How to increase your profit margins
5. How to make your supply chain more sustainable
6. How to reduce your production and supply chain costs
7. How to outsource production to other countries
8. How to prepare your business for global expansion