European Aluminium, a member-based industry association representing European companies, has urged the European Commission to correct the ‘distorted’ scrap market conditions created by the EU – US trade deal.

While the EU – US trade deal marks a political milestone, it fails to provide clarity for the aluminium sector. Uncertainty remains around tariffs and quotas, with key implementation details still pending. European Aluminium urges the Commission to act swiftly and decisively, starting with an export measure on aluminium scrap by September.

The new deal places a 15% import tariff on scrap in the US, allowing aluminium scrap to be easily exported to the US, more so than primary and semi-fabricated products. European Aluminium claims this will negatively affect European aluminium recyclers and create a ‘harmful arbitrage’, as scrap can easily leave the continent.

The organisation did praise the recognition of the issue in the statement from President Ursula von Der Leyen, through references to reduced tariffs, and the introduction of a quota system. However, European Aluminium responded: “It is still not clear how or when this will be implemented. We urge the European Commission to provide clarity on what has concretely been agreed for aluminium and when it will take effect.”

The organisation concluded their statement by emphasising that the European Commission has eight weeks to correct this. They stated: “We look forward to a clear decision by the European Commission in September in favour of an export measure on aluminium scrap.”