[SMM Aluminum Flash News] UK Scrap Aluminium Sector Needs 25% Annual Growth to Meet Future Demand

VBX Limited has obtained approval from the Western Australian Environmental Protection Authority (EPA) and the Australian Government's environment department to modify the development plan for its Wuudagu bauxite project in northern Western Australia. The revised proposal reduces the project's indicative footprint by almost 10 per cent to about 1,775 hectares while increasing planned mining and beneficiation rates to up to 9 million tonnes per annum (Mtpa). One of the major changes involves shifting the beneficiation plant inland from Guy Point. VBX said the move is intended to lower potential impacts on coastal and marine environments. Other proposed changes include narrower sealed haul roads, a distributed bore field with an optional desalination plant for water supply, and the co-location of port infrastructure to limit disturbance across the project area.

Britain’s growing aluminium scrap exports are raising concerns about the long-term availability of a critical raw material for domestic industries. According to Make UK, aluminium scrap exports reached 624,314 tonnes in 2025, up 43% from 2016 levels, while shipments to India increased 94% to nearly 199,000 tonnes. Exports to the US surged 989% year-on-year to 23,560 tonnes after aluminium scrap was excluded from Section 232 tariff measures. Make UK estimates the UK could require up to 6 million tonnes of recyclable aluminium scrap to support total aluminium demand of 8 million tonnes by 2035. The organisation warned that continued scrap outflows could weaken domestic manufacturing, discourage investment and reduce supply chain resilience. It called for greater investment in scrap collection, sorting and processing infrastructure, improved recycling standards and measures to retain critical aluminium alloys within the UK’s circular economy.

Mississippi-based flat-rolled aluminium manufacturer Aluminum Dynamics Inc. has announced its withdrawal from the aluminium recycling project at Benson, Arizona. The official announcement has come after months of slowed progress on the project of a 200-acre area previously reserved for the establishment of an aluminium recycling facility. Aluminum Dynamics had planned to construct a large recycling slab facility that would process scrap aluminium and support the company's downstream operations. The official statement released by the company noted, “Due to differences with some Arizona state officials that risked the construction and operations of the facility in Benson, Arizona, Aluminum Dynamics, Inc. has decided not to move forward with construction of the recycling slab centre in Benson, Arizona.”