Norwegian aluminum producer Hydro will close its Birtley, UK extrusion site and Luce, France anodizing facility due to a persistently weak downstream aluminum market and squeezed recycling margins. Additionally, recycling capacity in Puget, France will be reduced by 30,000 tons.

Decommissioning in Birtley is underway for completion by June, while the Luce facility will close by September.

Hydro said the tight scrap supply, pressure on recycling margins, and declining re-melt production are the reasons for this decision. In response, the company aims to cut hot metal costs by US$20-30/ton by 2030 in recycling, with a third targeted by 2025.