Alcoa rolling produces 200 million aluminum recycling plants in Germany

American aluminum producer Novelis announced on Monday that it's constructing a massive €200 million ($259 million) aluminum recycling facility in Germany. Situated in Nachterstedt, within the eastern state of Saxony-Anhalt, this state-of-the-art plant is set to open its doors in 2014. This new facility will process up to 400,000 tons of aluminum annually, sourcing materials from a variety of sources such as beverage cans, cables, wires, and industrial scrap. Tadeu Nardocci, President of Novelis Europe, mentioned that around 200 new jobs will be created with this project. The recycled aluminum produced here will primarily supply Germany's Alunorf rolling mill, one of the largest in the world. Alunorf produces approximately 1.5 million tons of rolled aluminum each year and is jointly owned by Novelis, which is part of Hydro, and another subsidiary of the Norwegian company Hydro. Despite the ongoing Eurozone debt crisis, Nardocci remains optimistic about the growth of aluminum demand in Europe throughout 2013. He highlighted that aluminum's lightweight, eco-friendly, and energy-efficient properties ensure it will continue to dominate the market. The establishment of this recycling plant marks a significant step toward Novelis' goal of using 80% recycled aluminum by 2020, compared to the current rate of roughly 30%. High electricity prices have posed challenges for Germany's aluminum industry, leaving the future of some facilities uncertain. However, aluminum recycling requires only about 5% of the energy needed for primary aluminum production, making Novelis' plant highly resilient against rising energy costs. This forward-thinking approach not only strengthens Novelis' commitment to sustainability but also positions them as leaders in innovative recycling practices.