For the manufacturing industry, this means that aluminium is likely to remain a comparatively volatile procurement market in the years ahead. Alongside the LME price, regional premiums, transport costs and scrap availability are becoming increasingly important factors in the actual cost of procurement.
What risks will European die-casting foundries face when procuring aluminium over the coming years?
Pierina Miladinovic: Die-casting foundries must prepare for increasing uncertainty in their supply chains. European primary aluminium production is declining, while dependence on imports is growing. At the same time, geopolitical tensions, potential trade restrictions and regulatory intervention are increasing the risk of supply shortages. In addition, competition for high-quality recycled materials is intensifying; for many companies, these materials will become a key source of raw materials.
The challenge, therefore, is not merely to procure sufficient aluminium; ensuring the required quality and sustainability will be equally crucial in future.
How is rising demand for secondary aluminium changing the procurement market?
Sven-Steffen Schulz: Since recycled aluminium requires considerably less energy and has a substantially lower carbon footprint than primary aluminium, its importance is steadily increasing across many industries. At the same time, however, this is intensifying competition for high-quality scrap and recycled grades. For foundries, securing access to quality-assured secondary materials is therefore increasingly becoming a strategic objective. In summary, the metal price will not be the only decisive factor in future; the availability of suitable recycling streams will be equally important.
