The US aluminum scrap market has kicked off 2024 with a significant momentum of 2.06 per cent rise in exports and 6.04 per cent rise in imports during the first quarter of 2024, reflecting a broader economic trend and strategic shifts in trade policies. The first quarter of the year has seen a notable increase in both imports and exports driven by rising global demand.
Top destination countries of US aluminium scrap exports
As of Q1 2023, US exported aluminium scrap mostly to Malaysia (100,000 tonnes) and India (96,700 tonnes), followed by South Korea, Thailand, and China. Whereas in Q1 2024, the list remained unchanged, except for South Korea and Thailand's positions as importers. In the said period, Thailand emerged as the third largest importer, sourcing 78,800 tonnes.
In a remarkable start to 2024, the US aluminium scrap market has seen notable changes. Q1 2024 witnessed exports soaring to 495,000 tonnes marking a 2.06% (10,000 tonnes) increase from the previous quarter’s export volume of 485,000 tonnes. Imports also grew by 8,900 tonnes from 147,300 tonnes in Q4 2023 to 156,200 tones in Q1 2024, which was a 6.04 per cent increase. This increase in imports indicated a robust domestic demand for aluminium scrap in the US-market, driven possibly by increased industrial activity and infrastructural projects which often spiked in the beginning of the year. The export rise indicated a remarkable position of US aluminium scrap in global market, possibly influenced by sustainability.
The US aluminium scrap market experienced a stable trend in the March quarter of 2024 compared to the same period in 2023. According to the latest data from US Geological survey, US imported 156,200 tonnes of aluminium scrap from January to March 2024, down by 3.58 per cent from 162,000 tonnes a year earlier, could be due to decreased dependence on overseas market for an improved domestic production capabilities or slight variation in demand within the country. Exports stood at 495,000 tonnes, essentially unchanged compared to 496,000 tonnes in Q1 2023.
The US aluminium scrap in Q1 2024 experienced a noticeable fluctuation in monthly imports and exports. In February, the imports decreased by 1,600 tonnes M-o-M from 52,400 tonnes to 50,800 tonnes. But exports increased by 3000 tonnes from 155,000 tonnes to 158,000 tonnes. In March, imports and exports increased by 2,200 tonnes and 24,000 tonnes, respectively, reaching 53,000 tonnes and 182,000 tonnes.
The analysis of US aluminum scrap data underscored a stable and resilient trade landscape, characterised by steady imports and exports. The factors like global demand, technological advancement and strategic trade policies supported this stability.
