US Secure Aluminum Supply Chains Act Targets Scrap Exports to China

On June 4, 2026, Michigan Representative Haley Stevens introduced the Secure Aluminum Supply Chains Act, legislation aimed at addressing a long-standing vulnerability in the US aluminum supply chain. The bill directs the US International Trade Commission (USITC) to launch a comprehensive investigation into the flow of US aluminum scrap exports toward strategic competitor nations, with particular concern over material reaching Chinese companies.

The United States generates one of the largest volumes of aluminum scrap in the world, a reflection of high domestic consumption across packaging, automotive, construction, and aerospace markets. Despite this, a substantial share of that scrap leaves the country rather than being processed at home. Domestic manufacturers depend heavily on recovered aluminum as an affordable and energy-efficient input, so the continued outflow of high-grade material raises both production costs and national security questions. Stevens has argued that allowing strategic materials such as scrap aluminum to flow toward competitors risks undermining American industry and the thousands of manufacturing jobs tied to it in Michigan and beyond.

The legislation does not impose any immediate trade restriction. Instead, it is structured as an evidence-gathering mechanism. The USITC is tasked with two core objectives: first, identifying the specific overseas destinations of US aluminum scrap exports, and second, assessing the economic and national security risks linked to those export flows, especially shipments reaching countries of concern and entities they control. Once the investigation concludes, the USITC must submit a full report to Congress, accompanied by policy recommendations to strengthen the domestic aluminum supply chain. Any actual export controls would require separate follow-up legislation.

The bill also requires that the investigation engage directly with domestic aluminum smelters, recycling firms, and labor unions, ensuring that the findings reflect input from across the industry. The proposal was referred to the House Committee on Foreign Affairs following its introduction.

The measure has drawn broad backing from industry and labor groups. Roxanne Brown, International President of the United Steelworkers, described aluminum scrap as an indispensable raw material for the aluminum value chain and strongly endorsed a dedicated investigation into how scrap exports affect manufacturing and national security. Ryan Modlin, Vice President of Norsk Hydro USA, said that clarifying where US aluminum scrap exports are heading would provide solid support for domestic manufacturing and long-term industrial planning. The Recycled Materials Association has also been engaged in the broader discussion.

The legislation builds on momentum that had been gathering through late 2025. In October 2025, the Aluminum Association released a white paper urging export restrictions on certain grades of high-quality scrap, including used beverage containers and other mill-ready materials that require minimal additional processing before being melted and reformed. The association called for an immediate ban on used beverage container exports outside North America, alongside enhanced tracking, improved classification systems, and stronger enforcement to prevent circumvention through material misclassification. The Association has argued that a targeted approach would minimize market disruption while giving the industry time to upgrade domestic sorting and processing capacity for lower-grade scrap.

As of June 2026, the bill is at an early stage and faces a long legislative path before any binding measures could take effect. For now its primary effect is to formalize scrutiny of an export pattern that domestic producers view as a growing threat to supply chain integrity. If the USITC investigation moves forward and confirms significant leakage of strategic material, it could lay the groundwork for export curbs that would reshape how US aluminum scrap is traded and reroute volumes back toward domestic recyclers and smelters.