Do you want to know current aluminum prices per pound? If you buy, sell or recycle aluminum, you must know its price & market conditions. In this blogpost you will learn how aluminum prices are determined and what variables affect those prices. We will cover measurement units, scrap and alloy grade pricing, regional pricing trends as well as market drivers.
Aluminum Pricing
A combination of regional and global aspects affects aluminum pricing. If you buy or sell aluminum regularly, you need to be aware of them. Fundamentally, aluminum prices per pound are based on supply & demand. But raw material availability, energy costs and seasonal fluctuations can impact pricing too.
Measurement Units
You will see aluminum prices expressed in two ways; dollars per pound & dollars per metric ton. In US, manufacturers and scrap dealers quote prices per pound. On the other hand international contracts & futures markets quote prices per metric ton. When comparing prices across global or regional suppliers, understanding these measurement units is key.
What Factors Affects Aluminum Prices
Below we break down the top aspects affecting aluminum prices today.
1. Supply and Demand
Global aluminum prices react to changes in supply & demand. Prices go up when demand exceeds supply. For example prices increase during economic expansions when construction and automotive fields use more aluminum. And during economic downturns there is excess aluminum inventory so prices drop.
2. Availability of Raw Material
Bauxite’s availability, aluminum’s primary ore, also affects aluminium prices. Mining disruptions or transportation issues can limit bauxite supply. So its shortage can cause aluminum prices to spike suddenly.
3. Energy Costs
Producing aluminum needs a lot of electricity. In fact, smelting aluminum consumes between 13 and 15 megawatt‐hours of electricity per ton. Thus energy costs account for nearly 40% of aluminum production costs. So when electricity prices go up, the cost of aluminum goes up too.
4. Environmental Regulations
Environmental regulations also impact aluminum pricing. Many countries are implementing stricter environmental standards which in turn increase production costs. This forces producers to pay more fees or invest in cleaner technologies. So these additional costs can add up to higher aluminum prices.
5. Geopolitical Variables
Political tensions, trade restrictions as well as international sanctions introduce uncertainty into aluminum market. For example recent sanctions on Russian aluminum exports disrupted global supply chains and increased price volatility. These geopolitical events can cause price swings.
Regional Price Fluctuations
Aluminum prices vary by region because of local supply & demand, trade policies and energy costs. Table below shows how prices in major markets compared during April–May 2025:
| Region | Avg. Price (USD/lb) | Avg. Price (USD/kg) | Change (MoM) |
|---|---|---|---|
| Europe | $1.16 | $2.55 | –3% |
| North America | $1.21 | $2.67 | 0% |
| Northeast Asia | $1.27 | $2.79 | 0% |
| Emerging Markets | $1.13‐$1.25 | $2.50‐$2.75 | –4.3% |
Pricing of Aluminum Scrap
Aluminum scrap pricing is always changing in the metal market. These changes create opportunities for both buyers and sellers. Scrap aluminum prices change upon change in new aluminum prices. So you need to stay up to date to make smart decisions.
Types of Scrap Aluminum
There are many types of aluminum scrap and every type has its own market value.
- 6063 Extrusions are clean & unpainted aluminum from construction materials and window frames. Right now this grade is around $0.91/lb in the US.
- Aluminum Wheels also known as “356 Aluminum Wheels” have high purity. Clean wheels are paying around $0.81/lb.
- 6061 Extrusions are from structural components and machine shops. Their prices vary between $0.59 and $0.71/lb depending on quality and location.
Current Scrap Prices
Scrap aluminum prices change frequently. Below are the latest median prices for most used aluminum scrap grades in North America as of May 2025:
- 6063 Extrusions: $0.92/lb
- Mixed Aluminum Turnings: $0.47/lb
- 6061 Extrusions: $0.71/lb
- Old Cast/Old Sheet: $0.78/lb
- Aluminum Wheels (clean): $0.81/lb
These prices are median. Actual prices may vary based on purity, region as well as volume. Urban areas might get you higher prices because of lower transportation costs and higher demand. And rural areas mostly have lower prices.
Factors Which Affect Scrap Prices
A number of factors are there which affect aluminum scrap prices. Supply & demand changes have the biggest effect on scrap values. For example increased construction during warmer months can increase prices. Industrial development levels in aerospace and automotive fields also govern scrap pricing and availability. Inflation, import restrictions and tariffs are other aspects which cause changes in prices.
New recycling technology can reduce processing costs. Lower processing costs mean higher prices for you as a seller. Availability of skilled recycling workers and labor costs also affect scrap aluminum’s final market value.
Aluminum Alloys & Specialty Grades
Mostly Used Aluminum Alloys
Specialty grade and alloy type affect aluminum price per pound along with its form. For example mostly used aluminum alloys such as 5052 and 6061 give a good balance of cost and strength. Industrial fields like automotive, marine and construction mostly choose these alloys.
In May 2025, 6061 aluminum prices are around $2.20 to $4.50 per pound. This price depends on your order size and form of aluminum. 5052 is around $1.80 to $3.50 per pound. Aerospace industry prefers higher strength alloys such as 7075. So 7075 aluminum prices are higher i.e., around $4.00 to $7.00 per pound.
Also See: A Complete Guide to Aluminium Alloys
Aerospace‐Grade Aluminum
Grades like 2025 series are aerospace grade aluminum alloys. Manufacturers engineer these alloys to get maximum strength & fatigue resistance. Because of their performance and safety advantages aerospace grade alloys are vital for aircraft components. Therefore these specialty alloys cost more per pound as compared to standard aluminum alloys. Their higher price is because of some special certifications, strict quality control and complex manufacturing process.
To Sum Up
Many global factors affect aluminum price per pound. Tariffs, energy cost and supply dynamics are one of them. Although forecast is showing a softening of prices in 2025, steady demand & limited supply can still support current prices.
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Related Questions
How do aluminum futures contracts affect spot prices per pound?
Spot prices follow futures market trends. Aluminum futures contracts affect spot prices because they reflect market expectations and supply‐demand.
How can small businesses track aluminum price trends?
Small businesses can track aluminum price trends through platforms such as MetalMiner or Trading Economics. You can set up alerts, track LME prices regularly and stay updated on government policies and industry news.
What role do London Metal Exchange (LME) prices play in determining U.S. aluminum prices?
U.S. aluminum prices use LME prices as a global benchmark. Regional tariffs and premiums are added to LME base price to set U.S. pricing.
Can consumers hedge against rising aluminum prices and if so how?
Yes consumers can hedge against rising prices. They can use options, futures or costless collars to hedge.
Do aluminum prices follow seasonal demand cycles?
Yes seasonal demand cycles affect aluminum prices. Prices rise during summer months because of construction activities and fall during winter months.
How does recycled aluminum content impact pricing in manufacturing contracts?
More recycled aluminum content means less raw material and energy cost. Therefore contracts become cheaper and more competitive.
