Paragon Union & Asahi Seiren join forces to target the $160B recycled aluminium market

Paragon Union Bhd made a partnership with Asahi Seiren Co., Ltd., which is the largest secondary aluminium producer in Japan. This partnership is all about grabbing the growth opportunities in the booming global recycled aluminium market, which is currently valued at over USD 160 billion.

The partnership will lead to the creation of Paragon Asahi Seiren Sdn Bhd, a joint venture where Paragon Union’s fully owned subsidiary, Paragon Metal Sdn Bhd, will take a 60 per cent share, while Asahi Seiren will own the remaining 40 per cent.

Paragon Metal’s deep understanding of the local market and its solid industrial presence, with Asahi Seiren’s nearly 90 years of expertise in aluminium recycling and its unique processing technologies, mark the joint venture to stand out. Asahi Seiren is well-known throughout Asia for its cutting-edge and eco-friendly recycling solutions, providing high-quality secondary aluminium to customers across the globe.

The firm is positioning itself to gain advantage of the rapidly growing recycled aluminium market, which is expected to soar from USD 107 billion in 2023 to over USD 160 billion by 2032, due to the rising demand for low-carbon materials in various sectors.

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Producing recycled aluminium uses just 5 per cent of the energy in comparison to the energy needed for manufacturing primary aluminium. The recycled aluminium also cuts down greenhouse gas emissions by as much as 95 per cent, making it an essential player in the global push for decarbonisation.

Southeast Asia is on the verge of becoming a major player in the recycled aluminium market, especially for the growing demand from sectors like automotive manufacturing, construction and sustainable packaging. As manufacturers look for more eco-friendly material options, the push for greener alternatives is stronger than ever.

As mentioned by Paragon, the joint venture aligns with Malaysia’s national goals for industry and sustainability, including initiatives like the New Industrial Master Plan 2030 (NIMP 2030) and the upcoming 13th Malaysia Plan (RMK-13). 

By turning industrial waste into valuable recycled materials, this joint venture collaboration will aid Malaysia in moving towards greener manufacturing, embracing a circular economy and cutting down on carbon emissions.

To know more about the global recycled aluminium industry 2026 outlook, pre-book the report “Global Aluminium Industry Outlook 2026” at a special price.