The AL Circle Team recently interviewed Kelly Roegies, Senior Communications Manager of the European Association, wherein she provided an overview of the current landscape of the European aluminium industry, highlighting the effects of US tariffs. In addition, she discussed the potential aluminium scrap crisis due to the US tariff exemptions on scrap imports, while also offering solutions to curb excessive outflow from the continent. According to her, the growing fear of losing scrap from Europe is justified.
To know more of her insights and opinion, read the full interview below:
AL Circle: Could you provide an overview of the current state of the European aluminium industry, particularly with regard to production levels, market demand, and overall consumption? Additionally, how have the recent US tariffs on aluminium imports impacted European trade flows and industry revenues?
Kelly Roegies: Europe has lost over 50 per cent of its primary aluminium production since 2021 due to high energy prices, which remain up to five times higher than in competing regions, and a global unlevel playing field. Today, primary aluminium production in Europe is steadily recovering from the aftermath of the 2022 energy crisis. Demand for semi-fabricated products is also rebounding, although at varying speeds depending on the end-use sector. For instance, some markets, such as packaging, are expecting to perform better, while automotive remains weak.
In the meantime, the recent US tariffs and the current geopolitical tensions (e.g., the Middle East) create additional uncertainties affecting both the supply and demand of aluminium.
For instance, when it comes to the US tariffs, of course, we can expect European aluminium exports to be impacted, but the bigger concern is scrap leakage. By exempting aluminium scrap from its 50 per cent tariff, the US has effectively created a pull factor, making it more attractive to ship valuable European scrap across the Atlantic.
We are also concerned about the risk of aluminium imports being redirected from other regions to the EU —a trend already observed for some products since the initial 25 per cent tariff was introduced — is likely to accelerate. With the tariff doubled to 50 per cent, more semi-fabricated products originally destined for the US may flood the European market, putting further pressure on prices and harming the competitiveness of domestic producers.
AL Circle: In your view, can the proposed EUR 21 billion retaliatory tariff package — along with the additional escalation list valued at EUR 95 billion targeting major US exports such as Boeing aircraft, vehicles, auto parts, bourbon whiskey, and other branded consumer goods — effectively compensate for the financial setbacks Europe has faced due to the steep US tariffs?
Kelly Roegies: European Aluminium does not take a direct position on retaliatory measures. However, we have expressed strong concern that the US Section 232 tariffs—now increased to 50 per cent—are completely disproportionate and unjustified. While we understand the need to respond to economic harm, our priority remains restoring fair-trade conditions and avoiding further disruption to global aluminium supply chains.