How Much Is Scrap Aluminum Per Pound?

The price of scrap aluminum per pound varies based on multiple factors. Understanding these dynamics helps maximize returns when recycling this common metal. The value depends on market forces, the specific type and condition of the material, and how it is prepared for sale.

Factors Influencing Scrap Aluminum Prices

The price of scrap aluminum fluctuates due to global economic forces and material characteristics. Supply and demand play a primary role; increased industrial activity and manufacturing elevate the need for raw aluminum, boosting demand and price for scrap. Economic slowdowns lead to decreased demand and lower prices. Global market trends, influenced by international trade policies and economic indicators like inflation, also contribute to price volatility. High inflation rates can increase operational costs for recyclers, potentially leading to higher scrap prices.

Current commodity prices, particularly those on exchanges like the London Metal Exchange (LME), directly influence what scrap yards offer. The LME is a global benchmark for primary aluminum, and scrap prices are often tied to these movements. The purity and specific alloy type also heavily impact value; cleaner, more consistent alloys command higher prices than mixed or contaminated batches. Larger quantities, such as by the ton, can fetch a better price due to economies of scale, reducing handling costs per pound. Local market conditions, including competing scrap yards and regional industrial demand, also play a role, as does transport cost to processing facilities.

Common Types of Aluminum Scrap and Their Value

Different forms of aluminum scrap hold varying values based on composition and cleanliness. Used Beverage Cans (UBCs) are common, often collected in large quantities, and valued in a mid-range, around $0.59 per pound. Clean aluminum extrusions, like those from window frames or siding free of paint or steel, usually command a higher price due to consistent alloy and purity, often $0.55 to $0.88 per pound. These materials require less processing before recycling.

Cast aluminum, found in engine parts or grilles, generally has a lower value than extrusions because it often contains other alloys or impurities. Its price might range from $0.68 to $0.72 per pound for clean cast. Aluminum sheet or plate, used in vehicle bodies or signs, is valued based on cleanliness and alloy.

Bare aluminum wire can be valuable, while insulated wire is worth less due to the non-aluminum coating. Aluminum foil offers a low return because of its low density and high likelihood of food residue contamination. Mixed or “dirty” aluminum, containing non-aluminum attachments like steel, plastic, or excessive dirt, fetches the lowest prices, sometimes as low as $0.05 per pound, due to extra processing required to separate materials.

Preparing Your Aluminum for Sale

Proper preparation of aluminum scrap before sale can increase its value and ensure a smoother transaction. Sorting aluminum by type is a primary step, as different categories, like cans versus extrusions, have distinct values. Separating clean aluminum from contaminated pieces is also important.

Cleaning and removing contaminants is important for maximizing payout. Non-aluminum materials like steel screws, plastic, rubber, or excessive dirt should be removed. These impurities reduce the net weight of the aluminum and can lead to lower pricing or rejection. A simple magnetic test helps identify and separate ferrous metals (like steel or iron) from non-ferrous aluminum, as aluminum is not magnetic. Estimating material weight before heading to the scrap yard provides a general idea of potential earnings.

The Selling Process at a Scrap Yard

Selling scrap aluminum at a recycling facility involves a straightforward process once materials are prepared. Research and find a reputable local scrap yard, often by checking online reviews or asking for recommendations. Before visiting, contact yards to inquire about current prices for specific types of aluminum, such as used beverage cans or clean extrusions, to determine the best selling location.

Upon arrival, scrap yards weigh materials using large truck scales for vehicles or platform scales for smaller quantities. The gross weight of the vehicle with scrap is recorded, then the vehicle is weighed again after unloading to determine the net weight. If contaminants are present, deductions may apply to the weight or price. Many yards require sellers to present a valid government-issued photo identification, like a driver’s license, for record-keeping. This prevents metal theft and ensures transaction traceability.

Payment methods vary, but many jurisdictions restrict or prohibit cash payments for scrap metal, especially for non-ferrous metals or transactions over certain value thresholds. Payments are commonly made by check or electronic transfer to create a verifiable financial trail. Sellers should review the receipt or scale ticket to ensure accuracy of the recorded weight and price per pound.