Netherlands’s sole primary aluminium producer halts production owing to high energy costs

Aldel (Damco Aluminum Delfzijl Cooperatie U.A.), a Dutch aluminium maker based in Delfzijl, announced on Friday that owing to the continuous high energy costs and insufficient government support, the company has decided to suspend the remaining operations at its Farmsum facility.

Reason for the halt

Aldel's move is part of a broader trend of companies scaling back or halting production across Europe due to skyrocketing gas and electricity prices, which have surged hundreds of percent compared to 2021. As the only producer of primary aluminium in the Netherlands, Aldel has an annual capacity of 110,000 tonnes for primary aluminium and 50,000 tonnes for recycled aluminium.

The company ceased primary aluminium production at its Delfzijl site in the Netherlands in October 2021 but continued to produce recycled aluminium. Following a bankruptcy and subsequent changes in ownership in recent years, the company now employs approximately 200 people. Among aluminium producers, Slovenia's Talum has reduced its capacity by 80 per cent, while Alcoa is shutting down one of the three production lines at its Lista smelter in Norway.