Why could Constellium reconsider its European recycling investments?

Constellium could reassess planned projects if the shortage of suitable aluminium scrap becomes more severe. The company relies on both internally generated recycled material and scrap purchased from external suppliers, making raw-material availability important for future investments.

How much is Constellium planning to invest in the Neuf-Brisach expansion?

Constellium has planned an investment of approximately EUR 130 million for the expansion of its Neuf-Brisach facility in France. Other recycling projects under assessment could involve investments either above or below this amount.

What is Constellium’s concern about EU aluminium scrap export rules?

The European Commission dropped a proposed export duty on aluminium scrap and is instead pursuing tighter waste-shipment rules. Constellium believes the proposed framework may not sufficiently restrict exports because some non-OECD countries could qualify for exemptions.

Constellium May Rethink European Aluminum Recycling Investments as Scrap Supply Tightens

Metal Recycling News | 2026-09-23 11:00:32

Constellium could reconsider planned aluminum recycling investments in Europe if supplies of suitable scrap become too constrained, with CEO Ingrid Joerg saying raw-material availability will be a key factor in deciding whether several projects move forward.

By Paul Ploumis

Constellium May Rethink European Aluminum Recycling Investments as Scrap Supply Tightens

Summary

Scrap Shortage Could Affect Recycling Investments
Constellium is reviewing several aluminium recycling projects across its packaging, automotive and aerospace businesses. CEO Ingrid Joerg said the availability of suitable scrap will be a key factor in determining whether planned projects proceed.
EU Scrap Export Rules Remain a Concern
The company is concerned about the availability of aluminium scrap following EU measures intended to retain more material within Europe. Constellium questioned whether proposed waste-shipment restrictions will sufficiently limit exports to non-OECD countries.
European Aluminium Market Faces Multiple Pressures
The scrap shortage adds to existing challenges for Europe’s aluminium industry, including high energy costs and the impact of the EU’s Carbon Border Adjustment Mechanism (CBAM). Constellium’s planned investments include the EUR 130 million expansion at its Neuf-Brisach facility in France.

MONTREAL (Scrap Monster): Constellium could reconsider planned aluminum recycling investments in Europe if the region's shortage of suitable scrap worsens, highlighting growing concern over whether recyclers will have enough raw material to support new capacity.

Chief Executive Ingrid Joerg told Reuters that the company is assessing several recycling projects across its packaging, automotive and aerospace operations.

The potential investments vary considerably in scale. Some could exceed the planned EUR 130 million expansion at Constellium's Neuf-Brisach facility in France, while others could be smaller.

SCRAPMONSTER EDGE

The constraint is shifting from recycling technology to feedstock availability. Constellium is considering additional recycling capacity, but the company says whether those projects move forward will ultimately depend on having enough suitable aluminum scrap to keep the facilities supplied.

Scrap Availability Could Determine Future Projects

Joerg said the availability of suitable aluminum scrap will ultimately help determine the future of several projects in the company's pipeline.

Constellium uses recycled material generated within its own operations but also relies on scrap purchased from external suppliers. That leaves the company exposed to broader competition for recycled aluminum feedstock across Europe.

EU Scrap Export Policy Remains a Concern

The availability of aluminum scrap has become a growing concern for Constellium as the European Union considers measures aimed at retaining more recyclable material within the bloc.

The European Commission recently moved away from a proposed export duty on aluminum scrap and is instead pursuing restrictions through revisions to waste-shipment rules.

Constellium has questioned whether the proposed framework will be restrictive enough, particularly if a large number of non-OECD countries ultimately receive exemptions.

European Aluminum Producers Face Wider Cost Pressures

The scrap shortage adds another challenge for Europe's aluminum industry, which is already dealing with elevated energy costs and the effects of the EU's carbon border adjustment mechanism.

For recyclers and manufacturers seeking to increase recycled aluminum use, the issue is becoming increasingly commercial: new processing capacity can only operate efficiently if sufficient volumes of suitable scrap remain available within the region.

Frequently Asked Questions

Why could Constellium reconsider its European recycling investments?
Constellium could reassess planned projects if the shortage of suitable aluminium scrap becomes more severe. The company relies on both internally generated recycled material and scrap purchased from external suppliers, making raw-material availability important for future investments.
How much is Constellium planning to invest in the Neuf-Brisach expansion?
Constellium has planned an investment of approximately EUR 130 million for the expansion of its Neuf-Brisach facility in France. Other recycling projects under assessment could involve investments either above or below this amount.
What is Constellium’s concern about EU aluminium scrap export rules?
The European Commission dropped a proposed export duty on aluminium scrap and is instead pursuing tighter waste-shipment rules. Constellium believes the proposed framework may not sufficiently restrict exports because some non-OECD countries could qualify for exemptions.