The world's top five aluminum recycling companies; summary of the top ten latest acquisitions and capacity expansions in the aluminum can industry

Aluminum, a metal, can be infinitely recycled without losing its original properties, making it widely popular across various industries globally. According to a recent report by AL Circle titled "Global Aluminum Industry: Key Trends for 2030," the global usage of recycled aluminum reached 27.1 million tons in 2022, and it is expected to surpass 28 million tons in 2023. Industries such as packaging, automotive, construction, and electronics are the primary drivers of global recycled aluminum consumption. Scrap aluminum is recycled to produce secondary aluminum, which is then used to manufacture new aluminum products. Clearly, the countries with the highest aluminum consumption are also the ones generating the most scrap. North America, Europe, and the Asia-Pacific region lead in aluminum recycling, boasting some of the largest recyclers. Let's delve into the companies that rank highest based on production and revenue.

Nobelis

Nobelis is a subsidiary of the Indian aluminum industry and stands as the world's largest aluminum recycler. According to a report released in 2022, this U.S.-based company can annually recycle 82 billion aluminum cans worldwide. Starting from the mid of 2025, it aims to increase this annual recycling capacity to over 97 million cans, along with expanding its overall production capabilities. Nobelis is currently constructing an integrated aluminum recycling and rolling mill in Novelis Bay, Alabama, marking the first fully integrated aluminum facility built in the United States in the past forty years.

The annual report for the company's fiscal year 2022 also indicates that the average recycling content for all Nobelis products is 57%. In the 2022 fiscal year, Nobelis purchased or received over 2.2 million tons of recycled metals.

In addition to the Novelis Bay facility, Nobelis is undertaking a $130 million project to enhance recycling capacity at its Oswego plant in New York and establishing a recycling facility worth $365 million in Guthrie, Kentucky. Nobelis is already engaged in recycling operations in 15 factories globally.

North America serves as the primary market for Nobelis, followed by Europe, Asia, and North America.

Constellium  SE

Constellium is a global leader in the development and manufacturing of high-value aluminum products and solutions, annually recycling 32 billion used beverage cans. The company's facilities, including the Neuf-Brisach plant in France and the Muscle Shoals plant in Alabama, are comprehensive facilities for recycling and producing finished products, equipped with state-of-the-art recycling capabilities and production processes. Constellium is a world-leading supplier and recycler of aluminum packaging market can bodies and can lids/pulls.

In April 2023, Constellium announced an agreement with the Renault Group to establish a closed-loop recycling process for the all-new Megane E-TECH Electric at the Mégane E-TECH Electric electronic technology electrical company. The Renault Group will return manufacturing waste from the stamping process directly to Constellium, which will recycle the waste and produce top-notch aluminum body panels for the outer shell of the all-new Megane E-TECH Electric

Norwegian Hydro

Norwegian aluminium and renewable energy company, Hydro, boasts an annual recycling capacity of approximately 2 million tons. This capacity is spread across 25 recycling facilities in Europe, the United States, and Canada, along with a sorting facility in Dormagen, Germany. To lead in decarbonization and the circular economy, Hydro is actively investing in expanding its recycling capabilities. Recently, the company signed an agreement to acquire land in Torija, Spain, with the intention of constructing an advanced aluminium recycling facility. This plant will enhance Hydro's ability to produce low-carbon aluminium, with an annual recycling capacity of 120,000 tons, operated by approximately 65 direct employees. The facility will be capable of producing Hydro CIRCAL and other recyclable low-carbon aluminium, with a carbon dioxide emission of less than 4 kilograms per kilogram of aluminium.

Furthermore, Hydro is planning to develop remelt ingot production at its facility in Rheinwerk, the United Kingdom, to increase its post-consumer scrap ingot recycling capacity. This investment will elevate Hydro's recycling capacity to approximately 103,000 tons per year.

Rio Tinto

Rio Tinto recently acquired a 50% stake in Matalco, a wholly-owned subsidiary of the Giampaolo Group. Matalco is a leading producer of high-quality recycled aluminum billets and slabs, with an annual capacity of approximately 900,000 tons. As customers seek solutions to reduce their carbon footprint, Rio Tinto invested $700 million to expand its supply of high-quality, low-carbon, recycled aluminum products.

Rio Tinto's CEO, Jakob Stausholm, stated, "Investing in recycling is part of our efforts to find better ways to deliver the low-carbon materials the world needs and provides a natural extension to our industry-leading primary aluminium business."

Prior to this, Rio Tinto invested $29 million to build a new aluminum recycling facility at its Arvida plant in Saguenay–Lac-Saint-Jean, Quebec. The facility, set to commence operations in March 2024, is designed to provide low-carbon aluminum solutions for customers in the automotive, packaging, and construction markets, with an initial capacity of 30,000 tons per year.

Additionally, Rio Tinto invested $8.4 million to add a new remelt furnace to its casting center at the Laterrière plant, enhancing its recycling capacity. The recycling center is operational with an initial annual processing capacity of 22,000 tons.

Spalea

Spalea is a leading aluminum rolling and recycling company in Europe, with a total of 11 recycling and production sites in Germany and Norway. Since completing the acquisition of Real Alloy Europe in March 2023, Spalea has the capacity to recycle up to 650,000 tons of aluminum annually. This acquisition included three aluminum and magnesium recycling facilities in Germany, an aluminum recycling plant and a salt slag recycling facility in Norway, effectively doubling Spalea's aluminum recycling capacity. With a century of experience and technical expertise, Spalea has a strong foothold in the recycling products sector.

Summary of the top ten latest acquisitions and capacity expansions in the aluminum can industry

Aluminum cans are the most widely accepted sustainable packaging module on Earth, highly praised for their 100% recyclability and adherence to green standards. Beverage cans are made from the purest form of aluminum, meaning that recycling them causes little to no material loss, thereby achieving a circular economy throughout the material flow. Compared to the original aluminum production process, recycling aluminum can save nearly 95% of carbon emissions.

Certainly, let's delve into why esteemed global brands extensively incorporate aluminum cans into their flagship packaging lines:

Energy Usage: Recycling aluminum cans can save up to 95% of the energy required for bauxite ore production. This reduction in energy consumption not only minimizes environmental impact but also promotes sustainable production practices.

Recycling Rate: Aluminum cans have an impressive high recycling rate, reaching around 70% globally. This means that nearly seven out of every ten aluminum cans are recycled, significantly reducing the demand for primary production from bauxite ore. The recycling process for aluminum cans is simpler than any other packaging module, as it does not require rigorous sorting or separation.

Closed-Loop System: Did you know that aluminum cans have a closed-loop recycling system? This means that a recycled beverage can could potentially become a new can within a few weeks and be back on the shelf. This process is highly efficient, contributing to making aluminum cans a sustainable choice.

Reducing Carbon Emissions: The shift in the aluminum industry towards recycling and sustainable practices has resulted in a significant reduction in carbon emissions. Studies have found that the greenhouse gas emissions from producing aluminum using recycled materials are approximately 95% less compared to primary production.

Lightweight Properties: Significant progress has been made in recent years in producing lightweight aluminum cans. In fact, over the past few decades, the weight of a standard can has been reduced by nearly 30%. This not only helps conserve valuable resources but also lowers transportation costs and reduces emissions.

By 2030, the global beverage can market is expected to surpass $59.6 billion, with a compound annual growth rate (CAGR) from 2023 to 2030 projected at 5.3%. The demand for portable and secure packaging solutions is driving market growth. It is anticipated that, supported by recycling efforts, the market will continue to grow at a CAGR of 5.4% throughout the forecast period. In 2019, the aluminum recycling rate reached 56%.

Expansion Summary of Major Beverage Can Production Lines in the Past Few Years

Coca-Cola: Coca-Cola European Partners (CCEP) recently announced a significant investment of £31 million to strengthen its manufacturing facility in Wakefield. This investment will integrate a new state-of-the-art canning production line, producing sustainable aluminum beverage cans. The optimized production line is expected to be fully operational by 2024, producing 2,000 beverage cans per minute. Additionally, the design of the new canning production line aims to efficiently utilize energy and water resources while reducing carbon emissions.

Eviosys: Eviosys is a renowned sustainable packaging company committed to becoming a global leader and a local partner. Eviosys is investing 8 million euros to expand its capacity to meet the demand for aluminum and steel two-piece and EOE round and irregular cans in the fish, meat, and pet food markets. This investment underscores Eviosys' dedication to providing reliable, sustainable, and localized packaging solutions for its customers. The growth in the fish market alone highlights the significance of Eviosys as a trusted partner in the industry.

Orora Beverage: Orora Beverage, an Australian manufacturer specializing in providing sustainable packaging solutions for the beverage industry, recently announced the launch of its new multi-size canning production line. The production line, expected to cost $80 million, is capable of producing 200ml premium-sized aluminum cans for soft drinks, iced tea, and alcoholic beverages to meet the growing demand. Orora Beverage has a robust customer base, including VB, Mount Franklin, and Coca-Cola, currently producing nearly one billion beverage cans annually. Their expertise lies in producing market-leading sustainable packaging solutions, with a focus on glass bottles and aluminum cans.

TricorBraun: TricorBraun has announced its intention to acquire leading aluminum can packaging supplier CanSource for an undisclosed amount. Since 2011, CanSource has been producing high-quality shrink sleeves, Brites, and printed beverage cans for both alcoholic and non-alcoholic drinks. Their premium aluminum cans are the perfect choice for craft beers, wines, spirits, and other high-quality beverages. TricorBraun, with four production lines in the United States and headquartered in Denver, Colorado, aims to expand its expertise in beverage packaging through this acquisition, enhancing its position in the North American beverage packaging industry. It's important to note that not all expansions are literal; some can be seen as pure power moves.

TULC (Toyo Aluminum Can): Toyo Aluminum Can, in collaboration with American Can Company, is working together to revolutionize the craft brewing industry in the United States. Unlike traditional coatings, Toyo Aluminum Can offers a more durable lining by using pre-coated aluminum sheets, preventing corrosion of the cans. This innovative process, created by Toyo Seikan Group Holdings, Ltd. (based in Tokyo, Japan), not only expands the range of beverages that can be packaged but also creates a more sustainable future for our planet. With its infinite recyclability, aluminum cans have already become an excellent choice for environmental protection, and Toyo Aluminum Can is taking it a step further.

Britvic: Britvic has invested £26.9 million to strengthen its operations at the Rugby factory, adding a new canning production line capable of producing over 120,000 aluminum cans per hour. The factory currently has four can production lines, and the latest one increases capacity by 20%. The use of recyclable materials and 100% recyclable cans has reduced the company's carbon footprint.

American Can Co., LLC: American Can Co., LLC is relocating its operations to a new headquarters at 183 Park Building 5, which is three times larger than its primary facility. Following the expansion, the company will have the capacity to produce 300 million cans annually. They plan to start production of 12-ounce cans in August, with eventual production of 16-ounce cans. The second production line is dedicated to producing "shrink sleeve" cans, with an expected weekly production of over 1.5 million cans, doubling the current production capacity. The full operation is anticipated to be operational by 2023.

Diageo: Diageo North America has announced an investment of approximately $80 million to establish a new facility in Plainfield, Illinois. The new plant will have the capacity to produce over 25 million ready-to-drink (RTD) beverages annually. This includes popular drinks like Smirnoff Seltzers, as well as newly launched RTD cocktails from Crown Royal and Ketel One Botanicals. The new facility is planned to feature two canning production lines, one producing 500 cans per minute and the other 1200 cans per minute. Commercial production is expected to commence in the summer of 2023.

Ardagh Group: The collaboration between Greencroft Bottling Company and Ardagh Group has led to the commissioning of the UK's first wine canning production line in County Durham. Greencroft Bottling Company made a substantial investment of over £2 million for the new canning line. The series will focus on popular 200ml and 250ml slimline cans, accommodating Ardagh's upcoming 187ml wine cans as well. Ardagh provided support for the debugging and setup of the canning line, as well as the establishment of wine compatibility testing standards. This collaboration marks significant progress for the UK wine industry.

Ball Corporation：Ball Corporation plans to build two new factories in the UK and Russia to expand its production capacity, with operations set to begin in 2023, producing billions of cans annually. The Caitlin facility will be Ball's third beverage can manufacturing plant in the UK, while the Ulyanovsk facility will be its fourth in Russia. Ball Corporation has changed the game in the aluminum packaging industry with its state-of-the-art can production lines. These systems are efficient and sustainable, producing aluminum cans of various sizes and designs at an unmatched speed. Ball Corporation is steadfast in its commitment to innovation, continuously improving its can production lines to meet the evolving market demands.

In summary, replacing single-use plastics with aluminum containers or cans contributes to a more environmentally friendly world. Aluminum is a renewable material that retains its original properties even after rigorous recycling cycles. By encouraging a gradual shift towards regular use of aluminum packaging, companies can reduce significant carbon emissions and divert a substantial amount of non-utilizable waste from landfills.