The aluminium trade between the European Union and the United States is going through a major change. New US tariffs on aluminium imports from the EU have altered long-standing trade flows. These measures affect not only raw aluminium but also processed products used in industries such as automobiles, construction, and manufacturing. What was once a stable trading relationship is now under pressure, forcing changes across the aluminium supply chain.
The impact of these tariffs is wide. From producers of primary aluminium to companies making finished aluminium goods, many parts of the industry are being affected at the same time. The changes are reshaping how aluminium moves from Europe to the US and how companies manage costs and supply.
US Tariffs Create Barriers for EU Aluminium
The United States has imposed high import duties on aluminium products coming from the European Union under Section 232 trade rules. These tariffs were first set at 25 percent and later increased to 50 percent in 2025. The increase has made exporting aluminium from the EU to the US much more expensive.
The tariffs apply to a broad range of aluminium products. This includes primary aluminium such as ingots and slabs. Semi-finished products like sheets, plates, rods, bars, and extrusions are also covered. In addition, aluminium components used in downstream industries fall under the same tariff structure.
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Because of this, European aluminium has become less competitive in the US market. Buyers in the United States must pay significantly more to import aluminium from the EU. This has reduced demand for European aluminium products and made it harder for exporters to maintain earlier trade volumes.
The European Union has not introduced similar tariffs on aluminium imports from the US. As a result, EU producers face restrictions when exporting, while US suppliers do not face the same barriers when selling into Europe. This difference adds further pressure on European aluminium producers.
One key exception to the tariffs is aluminium scrap. Scrap material is not included under the Section 232 tariffs and can still be exported without additional duties.
Effects Spread Across the Aluminium Value Chain
The tariffs are not limited to producers of raw aluminium. Their impact is felt across the entire aluminium value chain. Companies that process aluminium into semi-finished or finished goods are also affected.
Many European manufacturers produce aluminium parts for vehicles and other industrial uses. These products are often exported to the US. With higher tariffs in place, the cost of exporting these goods has increased sharply. This makes EU-made aluminium components less attractive to US buyers.
Some companies attempt to absorb the added costs, while others pass them on to customers. Both options create challenges, either through reduced margins or weaker demand. Over time, this pressure disrupts established supply chains.
Trade flows are also changing. Aluminium that previously moved from Europe to the US is now being redirected to other markets or kept within Europe. At the same time, US buyers are looking for alternative sources of aluminium that are not affected by the tariffs.
This shift affects planning, logistics, and inventory management across the industry. Long-standing trade patterns are being replaced by new and less predictable ones.
Scrap Exemption Alters Trade Movement
Aluminium scrap has taken on greater importance because it is exempt from the US tariffs. Unlike primary aluminium and processed products, scrap can still move freely from the EU to the US without additional costs.
This exemption has encouraged continued and sometimes increased trade in scrap aluminium. Scrap is widely used in recycling-based aluminium production and requires less energy to process than primary metal.
As exports of primary and semi-finished aluminium decline, scrap exports remain active. This creates an imbalance within the aluminium market and places further strain on primary producers.
Downstream industries are also affected. Companies that rely on aluminium must adjust to new sourcing conditions, higher costs, and changing availability. The tariffs are therefore reshaping the EU aluminium landscape from raw metal to finished products, altering how aluminium is traded between Europe and the United States.