In conversation with Marlene Johler, the Head of Sustainability & Public Affairs at Hammerer Aluminium Industries GmbH and also a lecturer of circular economy at the Technical University Vienna. She speaks about Europe’s aluminium recycling ecosystem. She highlighted that once a global benchmark for circularity and efficiency, the system is now under strain. Johler insists scrap is not just waste; it’s strategic gold. Without it, Europe cannot hope to meet the EU Green Deal’s climate targets or maintain industrial sovereignty. Other nations like India, Malaysia, China are already restrict exports to protect their industries, while Europe’s safeguards remain toothless.

To know more about the industry and what Marlene Johler has to say, read the full interview.

AL Circle: How would you describe the current state of the aluminium recycling ecosystem in Europe? Has it become more challenging in the recent years?
What role does aluminium scrap play in Europe’s transition to a circular economy and in meeting sustainability targets such as those outlined in the EU Green Deal?

Marlene Johler: Europe’s aluminium recycling ecosystem has long been a global benchmark for circularity and resource efficiency. However, the landscape has shifted considerably. The surge in scrap exports to countries like China, India, Indonesia, and the United States combined with trade distortions such as US tariffs is depleting the availability of secondary raw materials within Europe resulting in rising scrap prices and undermining the competitiveness of European recyclers.

The consequences are far-reaching. Aluminium scrap is not merely a by-product - it is a strategic asset. Recycling aluminium consumes up to 95 per cent less energy and emits 80 per cent fewer CO₂-emissions compared to primary production. It is indispensable to achieving the EU Green Deal’s climate and resource efficiency targets. Without reliable access to scrap, Europe’s sustainability ambitions will remain out of reach. And given our limited domestic raw material base, the circular economy is not just an environmental priority, it is a matter of strategic autonomy.

AL Circle: The US maintains high tariffs on primary aluminium but lower tariffs on scrap, which creates strong incentives for scrap exports from Europe. What are the real-world consequences of this policy asymmetry for EU-based producers and recyclers?

Marlene Johler: This tariff asymmetry has created a distorted market. The 50 per cent tariff on primary aluminium in the US inflates domestic prices, making scrap a highly attractive alternative. Since scrap can be used almost interchangeably with primary aluminium, US buyers are can pay a premium that European producers are unable match.

As a result, European scrap is increasingly diverted to the US, leaving domestic recyclers without the raw materials they need. This undermines our circular economy and threatens the viability of Europe’s aluminium industry. The EU-US trade deal, while politically significant, has failed to address this imbalance. The 50 per cent aluminium tariffs remain in place, and the consequences are becoming increasingly severe.

AL Circle: Do you believe the EU currently has sufficient safeguards in place to prevent the outflow of critical secondary raw materials like aluminium scrap? Why or why not?

Marlene Johler: No, the current safeguards are inadequate. Aluminium has been classified as a strategic raw material under the EU’s Critical Raw Materials Act, yet scrap exports continue to rise. The US tariffs exacerbate the problem. Simultaneously, Europe remains significantly reliant on external sources for aluminium, with imports accounting for more than half of its consumption.

Countries including India, Malaysia, and China have implemented export restrictions to protect their own industries. The European Commission must respond decisively. Aluminium scrap contains valuable alloying elements and stored energy, both of which are costly in Europe. Without targeted trade measures or export controls, we risk losing control over a resource that is vital for our green transition, industrial resilience, and defence capabilities.

AL Circle: Would you support the introduction of export measures or a reciprocity clause for aluminium scrap trade?

Marlene Johler: Yes, I would strongly support both. Export measures are essential to retain valuable scrap within the EU and ensure that recyclers and manufacturers have access to the materials they need. A reciprocity clause is equally important. If other countries restrict scrap exports to Europe, we must respond in kind to protect our circular economy and industrial sovereignty.

This is not about protectionism, but about a level playing field. Many countries already have export restrictions in place. Europe must defend its own interests.

AL Circle: Aluminium is often cited as a key enabler of the green transition from electric vehicles to renewable energy infrastructure. What risks do you see in Europe becoming increasingly dependent on aluminium imports, especially if domestic scrap is being depleted?

Marlene Johler: Aluminium is crucial for clean technologies from electric vehicles and solar panels to wind turbines and battery systems. Yet Europe already imports more than half of its aluminium demand, making it dependent on other regions. While Europe possesses strong industrial capabilities in downstream processing and recycling, the continent lacks sufficient primary production capacity largely due to structural factors such as limited access to competitively priced energy. This makes the retention and strategic uses of domestic aluminium scrap all the more critical to reduce external dependencies and support a resilient, low-carbon value chain.

Scrap leakage poses both economic and strategic risks. It undermines our ability to decarbonize, weakens supply chain resilience, and exposes us to geopolitical vulnerabilities. Aluminium is also critical for defence and infrastructure. If European recyclers cannot obtain scrap, we risk losing our industrial sovereignty.

Moreover, European recyclers operate under some of the world’s highest sustainability standards. If aluminium is recycled elsewhere, it will not be as clean or efficient. Once we lose our recycling industry, it will not simply return—it will be gone.

AL Circle: How critical is it for the EU to treat aluminium and aluminium scrap in particular as a strategic raw material in line with its industrial and defence goals?

Marlene Johler: It is critical. In December 2024, NATO identified aluminium as one of 12 defence-critical raw materials essential for advanced military systems. A JRC foresight study further recognized aluminium’s significance across 27 strategic applications in the Green, Digital, Defence, and Aerospace sectors.

Aluminium is lightweight, durable and corrosion resistant making it indispensable for a wide range of strategic technologies, including aircraft, naval platforms, armoured vehicles, satellite systems, and secure communications infrastructure.

The European Commission has recognized aluminium’s strategic importance. Now it must act accordingly and implement concrete policies to secure a resilient and sustainable European aluminium value chain, i.e. through carbon leakage protection or energy cost relief as well as the introduction of export controls for scrap. 

AL Circle: What role can policymakers play in reinforcing the circular economy for aluminium in Europe? Where are they falling short today?

Marlene Johler: Policymakers must move decisively. The window to safeguard Europe’s aluminium ecosystem is narrowing. We need clear, targeted measures, such as a 50 per cent export tariff on scrap exports to the US to match existing tariffs, and a 30 per cent erga omnes tariff for all other destinations to ensure scrap is recycled here in Europe.

There remains a gap between the European Commission’s stated ambitions and the policy instruments currently in place. Circularity, sovereignty, defence, and employment are deeply interconnected. If we lose our recycling industry, we lose strategic autonomy and thousands of high-quality industrial jobs.

Ultimately, Europe must defend its circular economy, not only for environmental reasons, but to ensure economic resilience and strategic security. Once lost, the aluminium recycling industry will not return. The time to act is now.