Fastmarkets' latest Market Briefing podcast compares the low carbon aluminium and copper markets, looking at who actually pays a premium for greener metal. Aluminium already has an established premium market, assessed since 2021, with low carbon material defined as no more than 4 tonnes of CO2 per tonne. Copper is at an earlier stage, with a new European cathode assessment at 1.5 tonnes of CO2 per tonne and most deals done through long term contracts. The episode also digs into the policy mismatch around CBAM. Aluminium is covered by the EU border carbon levy, but CBAM mostly targets Scope 1 emissions while aluminium's footprint comes largely from electricity use, or Scope 2. Buyers can end up paying both CBAM costs and a separate low carbon premium. As electrification, data centers and EV supply chains push up metal demand, the real question is how many buyers will actually pay extra for lower emissions.
