Aluminium Prices in Canada: 2025 Market Outlook

Aluminium is in a complex position heading through 2025. Global production capacity has expanded, but demand from the automotive and construction sectors remains robust in Canada.

Supply side factors

Global aluminium production has increased, particularly from new smelting capacity in the Middle East and Asia. This has put downward pressure on LME aluminium prices, which feed into what Canadian yards can pay.

Canadian construction demand

Despite global supply increases, Canadian construction activity remains elevated in major cities, keeping demand for recycled aluminium extrusions steady. Window and door replacement programs in older housing stock continue to generate significant extruded aluminium volumes.

EV market effect

As electric vehicle adoption grows in Canada, so does demand for cast aluminium. EV battery housings, motor housings, and structural components are predominantly aluminium cast alloy. This is positive for long-term aluminium scrap demand.

What this means for sellers

Aluminium prices are not at their peaks, but they remain well above the long-term averages of five years ago. Sorting carefully — particularly separating extruded from cast and keeping cans separate — remains the best way to maximise your payout.