The European Union drops a proposed export duty on aluminium scrap, with officials citing concerns that the measure could complicate the finalisation of a free trade agreement with India. Sources familiar with the discussions say the EU replaces the duty approach with alternative measures rather than a direct fiscal levy.
The proposal was intended to support European smelting capacity and align with the bloc’s sustainability objectives by managing scrap flows and reinforcing environmental goals. However, multiple reports say the duty would likely have increased the cost for Indian buyers of secondary aluminium, which relies on scrap as a cheaper and lower-carbon input compared with primary metal production.
Outlets differ mainly in emphasis. One account frames the decision as a move to avoid creating a “friction point” ahead of signing, while another highlights that the EU instead plans to rely on environmental regulations and monitoring mechanisms. Both describe the change as intended to reduce pressure on negotiations and help clear the way for potential agreement timing discussed by the EU.
