“OUTLOOK Global Scrap Market 2026: The Turning Point of Aluminum Recycling (Remelt) — Strategic Resource for the Net Zero Era” SO OK TRADING : September 6, 2026

“OUTLOOK Global Scrap Market 2026: Aluminum Scrap and Aluminum Recycling (Remelt) — Strategic Resource for the Net Zero Era” SO OK TRADING : September 6, 2026

 
✨ Introduction
The year 2026 marks one of the most pivotal moments in the global aluminum recycling market in decades. “Aluminum scrap” is no longer just leftover material; it has transformed into a strategic resource that nations compete to secure for industrial and environmental stability. Remelting (Remelt Aluminum) has been elevated beyond conventional recycling, becoming the cornerstone of the circular economy and a critical driver in achieving Net Zero.

With the ability to save up to 95% of energy compared to primary aluminum production and drastically reduce carbon footprints, Remelt has become the “lifeline” of global industries in an era where Europe’s CBAM (Carbon Border Adjustment Mechanism) is strictly enforced.

 
Global Market Overview
LME aluminum prices surged to USD 3,100–3,550 per ton, the highest in years.
Geopolitical conflicts and shrinking inventories have caused severe shortages of Primary Ingot.
China capped new aluminum production at 45 million tons and accelerated imports of high-quality scrap.
Europe and the United States are paying a “Green Premium” to secure low-carbon aluminum for EVs, packaging, and construction.
 
Thailand Market Situation
Thailand is in the midst of a Scrap War, with domestic remelting plants competing against exporters who supply scrap to China. Prices have risen sharply:

6063 (White Scrap): 75–85 THB/kg
Clean Wire Scrap: 80–90 THB/kg
UBC (Used Beverage Cans): 70–80 THB/kg
Domestic aluminum price: approx. 130–140 THB/kg
Thailand, however, has positioned itself as ASEAN’s hub for Closed-loop Recycling, with beverage can recycling rates already at 70% and a target of 85% by 2030. EV and packaging industries are the main drivers of this growth.

 
Popular Aluminum Remelt Grades
ADC12 (Cast Alloy) – Automotive parts (engine blocks, gear housings), electronics casings
LM6 (Cast Alloy) – High silicon, excellent corrosion resistance, used in marine equipment and pump components
6063 (Wrought Alloy) – Architectural applications (window frames, railings, solar structures)
6061 (Wrought Alloy) – High strength, used in EV structures, bicycles, ships, and aerospace components
3104 / 3004 (Packaging Alloy) – Beverage cans, the most recycled alloy globally
 
Outlook 2026–2031
Global aluminum recycling usage: 41.14 million tons in 2026 → 51.36 million tons in 2031 (CAGR 4.54%)
China: Targeting 14–15 million tons of Remelt production by 2027–2030
Thailand: Remelt usage in downstream industries to rise from 70% to 85% by 2030
 
Future Trends
Scrap Wars & Trade Protectionism – Countries restricting scrap exports to prioritize domestic use
EV Lightweighting – Rising demand for high-strength alloys like ADC12 and 6061
AI Sorting Technology – AI and X-ray sorting to achieve 98% purity, supporting aerospace and aviation industries
EPR (Extended Producer Responsibility) – New regulations requiring manufacturers (automotive, beverage, electronics) to take responsibility for recycling end-of-life products
 
Aluminum Price Forecast
Global (LME): Expected to remain high at USD 3,200–3,600/ton in 2026–2027, with potential to reach USD 3,800/ton by 2030 if supply shocks persist
Thailand: Scrap prices projected at 80–90 THB/kg, with overall aluminum prices likely to reach 150 THB/kg by 2030, driven by global demand and EV growth
 
Conclusion
Aluminum recycling (Remelt) is not merely an alternative material — it is a strategic resource shaping the future of global industries. With energy efficiency, environmental sustainability, and economic competitiveness, Thailand, as ASEAN’s recycling hub, holds a unique opportunity to elevate its role in Closed-loop Recycling and emerge as a key player in the global scrap wars.

 
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