Commentary: Realizing the benefits of boosting aluminum can recycling rates in the US

The United States rightfully takes great pride in being a global leader in many areas of business and innovation but lags other nations in realizing the economic and environmental benefits of recycling, particularly for aluminum beverage packaging. Fortunately, through education, incentives, better infrastructure and partnerships, recycling rates can be improved and will yield important economic and environmental benefits.

Aluminum, considered a critical material in most countries, including the U.S., is the most valuable material in the recycling stream. Aluminum cans, bottles and cups are also the most recycled beverage packages in the world and are easily recyclable with no loss in quality during remelting and reprocessing.  In fact, aluminum beverage containers that are recycled today can be remanufactured into new aluminum cans and back on stores shelves in a little as 60 days. Recycling aluminum also uses approximately 95 percent less energy than making new, primary aluminum. That means a beverage can made from recycled aluminum is significantly more sustainable than one made from primary aluminum. Yet, according to can maker Ball Corp. in its recent “50 States of Recycling” report, the U.S. recycles only about 45 percent of its aluminum beverage containers annually.

In contrast, Brazil has a 100 percent aluminum recycling rate. Additionally, most European Union nations, led by Germany (with a 99 percent recycling rate), are much closer to Brazil’s rate than that of the U.S. The same is true among many Asia-Pacific countries, led by Japan, South Korea, Vietnam and Cambodia, where more than 85 percent of their aluminum beverage cans are recycled each year.

The Ball report reveals quantifiable financial and environmental benefits of increasing aluminum beverage can recycling rates. It shows the U.S. has an opportunity to reap significant, long-term rewards by replicating the successes of its global counterparts. For example, increasing rates to 90 percent from current levels would: 

• create more than 100,000 jobs in collection, sorting, sales and reprocessing of recycled aluminum;
• raise wages in related industries by $2.1 billion to $5 billion per year;
• eliminate 1.3 million tons of waste deposited in landfills every year; and
• add $1.6 billion in annual sales of recycled aluminum to the U.S. economy.

Realizing these economic and environmental benefits in the U.S. requires a shift to a circular economy.

However, this can only happen with consumers’ participation and effective collection, sorting and processing infrastructure. Toward that end, Novelis actively is investing in and building on established relationships to further expand its recycling ecosystem. Through an array of partnerships, Novelis also is supporting initiatives in the U.S. to enhance collection and sorting of used beverage cans, something that the company also does in other locales globally.

Because of its sustainability profile, aluminum is the preferred material for beverage packaging. The U.S. cannot afford to continue sending valuable aluminum to landfills rather than to the recycling stream. The primary aluminum used to manufacture beverage cans is a costly resource often imported via lengthy international supply chains that have become more challenging given the uncertain geopolitical climate and decline in U.S. primary production. By increasing recycling rates, the U.S. can mitigate some of these costs and challenges, thereby enhancing the domestic supply of aluminum and ensuring ample aluminum scrap is available to meet our ever-increasing needs and the growing desire for sustainable packaging.

Novelis is committed to working with other stakeholders throughout the aluminum value chain to advocate for policies, standards and regulations that increase recycling rates and support our ambition to scale circularity. In the U.S., the company also is advocating as part of a multistakeholder coalition effort for high-performance recycling legislation in various states, including Washington. At the federal level, Novelis is actively supporting two bipartisan recycling bills, The Recycling Infrastructure and Accessibility Act and The Recycling and Composting Accountability Act, which passed the U.S. Senate and await action in the U.S. House of Representatives. Novelis believes these bills, if enacted, will help spur public-private partnerships that advance the recycling of aluminum and other materials. Moreover, these bills will serve as catalysts for additional policies at the federal and state levels that promote recycling and expand the circular economy for aluminum.

Clearly, the United States can and must do more to increase recycling rates. It is through a coordinated, multipronged approach involving cooperation between government agencies, corporations and consumers that we can reap the economic and environmental rewards that are attainable and aligned with Novelis’ purpose of Shaping a Sustainable World Together.

Greg Schlicht is senior vice president, global beverage packaging, at Novelis.