The European Aluminium association warns that upcoming ETS targets for 2026 to 2030 are too aggressive for the sector. Industry leaders argue that a one size fits all approach ignores the different technological realities of primary production versus remelting and rolling. Because aluminum prices are set globally on the London Metal Exchange, European producers cannot easily pass on the cost of carbon. The sector is calling for a slower reduction of free allowances and better alignment between the ETS and the Carbon Border Adjustment Mechanism to prevent carbon leakage.
