Metals & Alloys

Germany Marks 20 Years of Deposit Return Scheme as Aluminium Can Recycling Reaches 99%

Europe's largest one-way deposit system processes around 20 billion containers a year and feeds a national recycled aluminium industry with roughly 700,000–720,000 tonnes of annual capacity.

Marta KaczmarekOctober 15, 20265 min read9 views
A used aluminium beverage can being returned to a collection point inside a bright supermarket, with sorted cans in the foreground and a recycling facility visible in the background.

Germany's aluminium beverage can recycling rate stands at 99 per cent, according to an International Aluminium Institute (IAI) study, ahead of PET bottles at 95 per cent and glass bottles at 81 per cent in the country's packaging recovery picture. The same study is cited alongside a European total recycling record of 76.3 per cent. Behind the figure is a deposit-return system, widely known as Pfand, which Germany marked with 20 years of nationwide one-way deposit operation in 2026.

From a mandatory deposit to a nationwide system

Germany's single-use beverage deposit system was built in stages. The mandatory deposit requirement was decided in 2003. In 2005, retailers and the drinks industry jointly established Deutsche Pfandsystem GmbH (DPG) to develop a standardised framework for implementing the requirement. The nationwide DPG system for single-use beverage packaging came into operation in May 2006, supported by an extended take-back obligation requiring the new arrangements from May 1 that year.

Consumers pay a EUR 0.25 (USD 0.28) deposit on eligible single-use beverage containers and recover it by returning the empty packaging through an accepted collection point. Retail take-back, reverse-vending machines and standardised container identification have made returns part of routine shopping.

According to DPG material, the system today handles around 20 billion containers annually, making it the largest one-way deposit-return system in the European Union, with more than 1,000 companies affiliated as participants and partners.

How the deposit scheme supports aluminium recycling

The scheme's main advantage for the aluminium industry is not simply the number of cans returned. It is the creation of a reliable, dedicated stream of used beverage cans that enters organised collection and recycling channels rather than being lost in mixed waste. The refund gives consumers a direct financial reason to return containers, while take-back points and reverse-vending machines make the process convenient. Container recognition and standardised identification help distinguish eligible packaging and direct materials into separate collection streams. A refundable deposit can also limit material loss by encouraging consumers to keep eligible containers out of ordinary disposal routes.

Industrial recovery capacity behind the scheme

Germany's collection performance sits alongside a sizeable recycled aluminium industry. DPG material estimates national recycled aluminium capacity at around 700,000–720,000 tonnes annually.

  • Novelis operates its Nachterstedt facility in Germany, described in the material as the world's largest aluminium recycling facility, with capacity to process up to 400,000 tonnes of aluminium scrap a year.
  • Hydro-owned WMR Recycling GmbH in Dormagen supplies technology-driven sorting equipment and can sort 36,000 tonnes of aluminium scrap annually, using X-ray transmission and other sorting technologies.
  • Trimet Aluminium SE has expanded its Gelsenkirchen recycling facility, raising production capacity by 20 per cent to 80,000 tonnes of recycled aluminium.

These operations link collection to industrial recovery: the deposit system brings containers into organised channels, and sorting and recycling facilities then prepare the recovered metal for further use.

Two decades of DRS

The scheme's 20-year milestone was marked at anniversary celebrations in Berlin on June 17, 2026, where the European Commission and Germany's Federal Environment Ministry highlighted its contribution to the circular economy. EU Commissioner for the Environment Jessika Roswall said all packaging — whether glass bottles, plastic bottles or aluminium cans — should be sent for recycling to increase efficiency, reduce waste and protect the environment.

Antje von Broock, head of the department for circular economy, air pollution control and chemical safety at the Federal Environment Ministry, said the deposit-refund system makes a very important contribution to the circular economy today. DPG Managing Director Susanne Kürschner noted that the organisation and its partners had maintained the system's stability while making it more efficient, resilient, future-proof and scalable.

Germany's scheme also operates alongside broader packaging collection arrangements, including household sorting through the Dual System, commonly associated with the Grüner Punkt. The deposit scheme provides a dedicated route for eligible single-use beverage containers, while other packaging remains subject to the relevant collection and compliance arrangements. As Europe looks to strengthen packaging circularity, Germany's two-decade record offers a practical example of how collection systems can connect consumer behaviour with aluminium can recycling.