From scrap to strength: Why global aluminium scrap is flowing into Southeast Asia
What once filled scrapyards is now driving a regional boom. Aluminium scrap, long treated as waste, is now an important thing into Southeast Asia as factories across Malaysia, Thailand, Indonesia and Vietnam hunt for cleaner raw material. With global industries chasing low-carbon supply chains and environmental rules tightening, the region has quietly become one of the world’s busiest recycling hubs — and business is thriving.
Malaysia has taken the lead in this shift. According to UN Comtrade data aluminium scrap imports jumped 18.5 per cent in a single year — from 241.99 thousand tonnes in 2023 (worth USD 430.27 million) to 286.80 thousand tonnes in 2024, valued at USD 551.7 million. Among this United States supplied a large share, around 359,000 tonnes. By August 2025, Malaysia already imported 286.3 thousand tonnes, worth roughly USD 556 million, including 147,000 tonnes from the US in the first six months alone. If that pace holds, year-end figures are set to rise further.
Indonesia’s volumes slipped 7.2 per cent, from 124.24 thousand tonnes in 2023 (USD 228.7 million) to 115.27 thousand tonnes in 2024 (USD 225 million). Still, the country continues to source heavily from the United States — 60,000 tonnes in 2024 and 36,700 tonnes by mid-2025.
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