Aluminum Production

The 307 aluminum processors in the US produce aluminum and aluminum alloys from bauxite and aluminum scrap. Products include aluminum ingots, slabs, sheets, plates, foils, bars, and extruded shapes. Primary production is when alumina (aluminum oxide) is smelted to create pure aluminum metal. Secondary production is the smelting of recycled aluminum scrap to create aluminum that can be used again.

Energy Intensive

Aluminum production consumes high amounts of electricity, natural gas, and fuel oil.

Foreign Competition

US aluminum producers face strong competition from foreign producers, particularly China.

Sep 8, 2026 - US Aluminum Production Poised for a Comeback

• US aluminum production is beginning to recover after years of decline, supported by tariffs, tight global supplies, and growing demand from electric grid expansion, Canary Media reports. Century Aluminum restarted idled capacity at its Mount Holly, SC, smelter, adding 50,000 metric tons of annual production and boosting total US output by nearly 10%. Magnitude 7 Metals also plans to restart 75,000 metric tons of capacity in Missouri, while a proposed Oklahoma smelter could more than double US primary aluminum capacity. Section 232 tariffs are improving the competitiveness of US producers by raising the cost of imported aluminum. However, high electricity costs remain a major obstacle because smelting requires enormous amounts of continuous power. New and restarted plants also face environmental concerns, permitting hurdles, and community opposition, which could delay investment and limit the industry's ability to expand domestic production.
• A new white paper from the Aluminum Association (AA) argues that aluminum scrap is a strategic resource and calls for export controls to strengthen US manufacturing and national security. The report supports growing congressional efforts to keep more aluminum scrap at home, giving domestic producers a larger and more reliable supply of recycled raw material. At a recent House Energy & Commerce hearing, Rep. Mariannette Miller-Meeks (R-Iowa) said retaining more aluminum scrap would reduce reliance on imported materials, strengthen domestic supply chains, and create manufacturing jobs. Separately, S&P Global highlighted aluminum recycling's growing importance as geopolitical tensions tighten global aluminum supplies. Together, these developments signal increasing support for policies that expand domestic recycling, improve supply chain resilience, and help US aluminum producers secure the recycled feedstock needed to remain competitive while reducing exposure to global supply disruptions.
• Energy-hungry data centers represent a threat to aluminum smelters, the CFO of Alcoa warns, as reported in Aluminum International Today. The aluminum giant’s warning highlights a growing structural challenge for aluminum producers: intensifying competition with data centers for affordable electricity. Because smelting is one of the most energy‑intensive industrial processes, producers rely on long‑term access to low‑cost power, typically $30–$40 per megawatt hour. But data centers are willing to pay more than $100 per MWh, pushing power markets toward higher prices and making it harder for smelters to secure viable contracts. Alcoa notes this dynamic has already contributed to the closure of its West Coast smelters and poses a major barrier to building new US capacity. Overall, the rise of data centers threatens long‑term domestic smelting competitiveness and could limit future domestic aluminum production growth.
• Producer prices for alumina and aluminum producers and processors extended their steep ascent in July, soaring 40.6% compared to a year ago after rising 12.6% in the previous July-to-July annual comparison, according to the latest US Bureau of Labor Statistics data. Industry producer prices have risen sharply this year driven primarily by the outsized impact of import tariffs and the resulting tightening of the US aluminum market. Meanwhile, employment by alumina, aluminum, and other nonferrous metal producers inched up 0.7% year over year in June, while the average industry wage for workers employed by primary metals manufacturers was flat YoY at $30.11 per hour, easing from its record high in April, BLS data show.

Industry size & Structure

The average aluminum producer employs about 397 workers and generates about $167 million annually.

• The aluminum production industry consists of about 307 companies that employ 121,800 workers and generate $51.2 billion annually.
• The 29 primary aluminum producers in the US are dominated by two companies, Alcoa and Century Aluminum.
• There are about 68 secondary aluminum production firms in the US.
• About 50 companies produce aluminum products, such as sheets, plates, bars, foils, and extruded shapes.
• In 2025, three companies operated six primary aluminum smelters in five US states.
• More than half (60%) of aluminum consumed by the US in 2025 was imported, up from 38% in 2020, according to the US Geological Survey.
• In 2025, transportation applications accounted for 36% of US aluminum consumption, followed by packaging (24%), building (13%), electrical (9%), consumer durables and machinery (8% each), and other (2%).