How Much Is Aluminum Per Pound for Scrap Metal?

Aluminum is a widely used and valuable material in various industries, making its scrap a significant component of the recycling economy. Its lightweight nature, durability, and infinite recyclability contribute to its economic value, drawing interest from individuals seeking to convert discarded items into cash. The market for aluminum scrap is dynamic, with prices fluctuating based on a complex interplay of global economic forces, material quality, and regional demand. Understanding these factors is key to appreciating how much aluminum is worth per pound when recycled.

Understanding Aluminum Market Prices

The price of aluminum scrap is primarily influenced by global market dynamics, mirroring supply and demand principles. Economic indicators, such as Gross Domestic Product (GDP) growth and inflation, play a substantial role in determining overall demand for both new and recycled aluminum products. Strong economic growth often correlates with increased manufacturing and construction activities, driving up demand for aluminum and its scrap. Conversely, periods of low inflation or economic slowdown can lead to stable or reduced prices.

Energy costs are another significant factor impacting aluminum scrap prices, as the smelting and recycling processes are energy-intensive. Fluctuations in the price of fossil fuels, such as oil and natural gas, directly influence production costs, affecting scrap value. The London Metal Exchange (LME) serves as a global benchmark for primary aluminum prices, and while scrap prices are not directly traded on the LME, they are closely correlated with these global benchmarks. Global events, including supply chain disruptions and geopolitical tensions, can quickly ripple through the market and affect local scrap values.

Common Aluminum Types and Their Resale Value

The value of aluminum scrap varies considerably depending on its type, purity, and the ease with which it can be processed. Used Beverage Cans (UBCs), commonly found in household recycling, are a widely recognized form of aluminum scrap and are consistently priced. These cans typically average around $0.40 to $0.59 per pound, though prices can range from $0.02 to $2.00 depending on location and market conditions. It takes approximately 32 cans to make a pound.

• Cast aluminum (barbecue grills, auto parts): $0.45-$0.68/pound.
• Aluminum siding and gutters (clean, unpainted): $0.60-$0.70/pound.
• Aluminum extrusions (window/door frames, 6063 alloy, clean): $0.88-$0.90/pound.
• Clean aluminum wire (bare bright): $0.47-$1.00/pound.
• Automotive aluminum rims (free of tires/weights): $0.72-$1.00/pound.
• Aluminum foil and “dirty” aluminum (impurities): $0.05-$0.25/pound.

Preparing Aluminum for Sale

Proper preparation of aluminum scrap is an important step in maximizing its resale value at a scrap yard. The primary goal is to increase the purity of the aluminum and reduce any contaminants. This involves separating different types of aluminum, as specific alloys and forms command different prices. For instance, keeping clean aluminum cans separate from painted aluminum siding or cast aluminum ensures that each material is valued at its appropriate rate.

Removing non-aluminum materials is also important for a higher payout. Contaminants like steel screws, plastic components, rubber seals, wood, dirt, or excessive oil can significantly reduce the value of your scrap. Scrap yards will either deduct the weight of these impurities or pay a much lower “breakage” or “dirty” rate for the entire load, as they incur additional processing costs to remove them. Cleaning the aluminum, such as wiping off dirt or grease, further enhances its appeal and value to buyers. For items like aluminum wire, stripping off insulation, though time-consuming, can significantly increase the per-pound price because the material becomes “bare bright” and requires less processing by the buyer.

Selling Your Aluminum Scrap

When selling aluminum scrap, the process begins by locating reputable local scrap yards. It is advisable to contact several facilities to inquire about their current prices for the specific types of aluminum you possess, as rates can vary between buyers and fluctuate daily. Many scrap yards update their prices regularly, reflecting ongoing market conditions. Understanding their operating hours and any specific requirements for dropping off material, such as minimum weight thresholds, can save time upon arrival.

Upon reaching the scrap yard, your material will be weighed, often using industrial scales that accommodate various load sizes. Scrap yards require sellers to present a valid form of identification, such as a driver’s license, for record-keeping purposes, which is a standard practice across the country. The material will then be visually inspected and sometimes tested to determine its grade and purity. Based on the weight and assessed quality, payment is issued on the spot, commonly in the form of cash or a check.