Fagor Ederlan Group drives growth in North America with the opening of Fagor Recycling in Pennsylvania

Fagor Ederlan Group is taking another step in its industrial expansion in North America with the inauguration of Fagor Recycling, a new company located in Blossburg, Pennsylvania, United States. Established alongside its strategic partner Lorne Kalisky, the company is 51% owned by the Basque cooperative group.

The investment strengthens Fagor Ederlan’s commitment to the circular economy and recycled aluminum, complementing the activities of Fagor Regen Aluminum, whose incorporation into the group in 2025 marked its entry into the secondary aluminum business.

Fagor Recycling will specialize in producing recycled aluminum ingots and recovering recyclable materials. The plant will manufacture different aluminum alloys using exclusively recycled material, primarily serving the US domestic market and sectors such as automotive, construction and consumer goods.

The facility will begin operations with an estimated annual production capacity of 12,000 tonnes, with plans to increase this to 36,000 tonnes in the coming years. The initial workforce will comprise approximately 20 employees, with the potential to grow to 60 direct jobs as the expansion phases are implemented. The company expects to generate around $40 million in revenue during its first year of operation, with the ambition of exceeding $100 million in annual revenue once its growth plan is fully implemented.

A complementary industrial ecosystem focused on recycled aluminum

Fagor Recycling and Fagor Regen Aluminum will form a specialized industrial ecosystem focused on recycled aluminum, enabling both companies to offer customers a broader and more competitive value proposition. The proximity of the two facilities will help optimize logistics, improve access to different sources of industrial scrap and recyclable materials, and develop a complementary portfolio of alloys and production capabilities. The companies will also share commercial relationships and technical expertise to meet growing demand for sustainable materials.

Recycled aluminum offers significant competitive and environmental advantages. Approximately 85% of the aluminum produced in the United States comes from recycled sources, and producing recycled aluminum requires up to 95% less energy than producing primary aluminum.

Approximately 85% of the aluminum produced in the United States comes from recycled sources, and producing recycled aluminum requires up to 95% less energy than producing primary aluminum.

This investment will enable Fagor Ederlan to increase its local production capacity in the United States, expand its range of aluminum alloys and strengthen its position in the aluminum recycling and refining sector. It also responds to the needs of a market facing a structural supply deficit and covering nearly 60% of its aluminum demand through imports.

Shared growth and a commitment to sustainability

Jon Zuazo, CEO of Fagor Ederlan Group, explains: “The incorporation of Fagor Regen Aluminum opened the door to a strategic sector for our future. Today, with the launch of Fagor Recycling, we are taking another step forward in our commitment to recycled aluminum, a key material for industrial decarbonization that requires up to 95% less energy than primary aluminum production. In doing so, we strengthen our ability to offer local, sustainable and competitive solutions to our customers in North America. This investment reflects our determination to continue growing alongside our partners, our people and the communities where we operate.”

The inauguration ceremony was attended by Mikel Uribetxebarria, President of Fagor Ederlan Group; Jon Zuazo, CEO of the group; and Lorne Kalisky, the company’s partner, alongside representatives from Pennsylvania and Blossburg, future plant employees and members of the local community.

Part of MONDRAGON Corporation, Fagor Ederlan Group is one of the world’s leading suppliers of automotive components. Specializing in chassis systems, powertrain solutions and structural components, the group operates manufacturing facilities across Europe, North America, South America and Asia, combining industrial expertise, technological innovation and a strong commitment to sustainability.