Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

US President Joseph R. Biden reiterated the need for improving the country’s infrastructure in his first address to a joint session of Congress on Apr 28.


During this address which marked his 100 days in office, Biden remarked on the need to improve highways, roads, and bridges using Made in America products and raw materials and advancing technologies to ramp up the production and consumption of clean energy in the automotive market through a thrust on electric vehicles. 


Biden also focused on the power sector during his speech, pledging to set up many thousands of miles of transmission lines to support clean energy.


The $2.3tn infrastructure plan unveiled by the Biden administration earlier this month is being welcomed by the metals and scrap industries. 


According to Kevin Dempsey, president, and chief executive officer of the American Iron and Steel Institute (AISI), Made in America structural steel, which is largely used in commercial construction projects, is mostly made using scrap as raw materials–with around 90pc of the product consisting of recycled material.


On the increased focus on EVs, Dempsey noted that the rise of these vehicles would also be beneficial to the steel industry since it is used to make the protective covers for battery packs.


The Aluminum Association is also optimistic about the various initiatives under this plan, especially the recent investments announced by the Department of Energy to extend loans to improve the transmission grids and the Department of Transportation’s guidance on easing the construction of these lines near federal roads. 


Tom Dobbins, president, and chief executive officer of Aluminum Association said that adequate aluminum supply will remain key in the success of these plans since the metal is used extensively in power distribution and transmission grids. 


In a statement on Thursday, he urged the Congress and White House to expedite these plans and contemplate any additional opportunities to improve this sector as it would be beneficial not only for US consumers but also for the aluminum industry in the US.

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