Additionally, the market is set to benefit in the long term from companies progressively embracing low carbon metal. The North American region, with its high concentration in scrap-fed electric arc furnace (EAF) mills, is well-positioned to benefit from the increased domestic demand for secondary metal.
Near term, the Automotive sector is expected to be the front runner in fueling metals’ growth trajectory. Auto production is ramping up, mainly driven by latent consumer demand and improving semiconductor supply.
Aluminum, both lightweight and highly recyclable, is well-positioned to register strong growth across markets seeking a sustainable, high-performing metal. The green metal with its solid long-term demand fundamentals is garnering increased interest from dealmakers, including both strategic buyers and financial sponsors. In the second quarter, Apollo Global announced a $5.2 billion acquisition of Arconic, a leading provider of aluminum sheet, plate, and extrusions.