Norwegian aluminium company Hydro expects to utilise 25,000mt of its Circal aluminium in 2020, up from 10,000mt last year.
In 2021, Hydro forecasts a sale of 40,000-50,000mt of Circal, the aluminium manufacturer informed Davis Index, adding that the potential is significantly higher after that.
Sharing details about the composition of this recycled aluminium, the company added that Circal is certified to hold at least 75pc post-consumer scrap.
A kilo of Hydro Circal requires 2.3kg of C02 to produce, as against the global industry average of 18kg primary aluminium.
The company shared that by using an advanced sorting technology, aluminium from end-of-life windows, cans, door and car parts, is used to make recycled aluminium.
The company added that though growing use of Circal would have limited impact on aluminium demand, the sector is expected to grow in the coming years.
“Speed of growth would be dependent on how quickly authorities change standards and incentives, and how rapidly public opinion changes when it comes to paying for greener products,” the Hydro statement said, adding that this recycled aluminium has become a key part of the product portfolio, with increased demand from customers and various industries.
Hydro already has established a strong presence in the building and construction sector, and the company is pleased to gain a foothold in the furniture industry with this product.
Hydro’s primary aluminium production rose by 55,000mt to 545,000mt in the fourth quarter, Q4 2020, from a year ago, on lower material costs.
The company’s re-melted metal production fell by 14,000mt to 121,000mt in Q4 from 135,000mt in the prior year, on lower volumes.