News from May 2025
Emirates Global Aluminum (EGA) announced plans to build a new primary aluminum smelter in Inola, Oklahoma, marking the first new smelter of its kind in the U.S. since 1980. The $4 billion facility, located near Tulsa at the Port of Inola, will sit on more than 350 acres and is expected to double current U.S. primary aluminum production with a capacity of 600,000 metric tons per year.
This development is especially significant in a market where 85% of U.S. aluminum demand is currently met by imports, primarily from Canada. As domestic supply capacity expands, it could have ripple effects across the aluminum value chain, including scrap.
The announcement also coincides with a sharp rise in regional pricing: Fastmarkets reports that the Midwest aluminum premium has jumped 72% since January, reaching 37.5–40.0 cents per pound as of May 16.
Construction of the plant is slated to begin by the end of 2026, with full production targeted by the end of the decade. The facility will produce billets, sheet ingots, high-purity aluminum, and foundry alloys, serving key industries like aerospace, automotive, defense, and packaging.
Key Takeaways:
- The EGA smelter will be located in Inola, Oklahoma, near the Tulsa Port on the Arkansas River system.
- It will be the largest new aluminum facility in decades, expected to double U.S. primary production.
- Midwest aluminum premiums are already climbing, reflecting tight supply and strong demand.
- Local scrap demand could rise, especially for clean, sorted aluminum as downstream manufacturing expands nearby.
- Additional U.S. investments are in play, including alumina production projects and Century Aluminum’s green smelter initiative.
What This Means for Cozzi Recycling Customers:
While production at the EGA plant won’t begin until later this decade, the long-term implications for the aluminum scrap market are positive. As the U.S. shifts toward more domestic metal production, demand for quality aluminum scrap is expected to increase. This could strengthen prices and open new opportunities for scrap sellers, particularly in the Midwest.
Stay Informed:
Cozzi Recycling is tracking these developments closely to help our customers plan ahead. If you handle aluminum scrap, now’s a good time to understand what grades will be most in demand and how market dynamics may shift. Contact us directly for real-time pricing and expert insights.