“Aluminum for America” Policy Brief Recommends Action on Trade, Recycling, Energy and More
ARLINGTON, VA, Dec. 18, 2024 (GLOBE NEWSWIRE) — The Aluminum Association, which represents companies that make around 70% of the aluminum and aluminum products shipped in North America, released Aluminum for America: A Presidential Policy Brief, a new framework laying out strategic policy priorities for the incoming Trump administration and new Congress. This plan tackles the major challenges facing the domestic aluminum sector and calls for a national strategy to prioritize, produce and defend critical materials like aluminum. According to a 2024 economic impact study, the U.S. aluminum industry generates nearly $228 billion in direct and indirect economic impact and nearly 700,000 jobs, including 164,000 direct industry jobs. The U.S. aluminum industry has invested more than $10 billion in mid-and downstream processing and recycling capacity over the last decade, while U.S. primary aluminum production continues to decline.
“American aluminum is already growing and expanding with robust demand and investment. But we need decisive policy action to unlock its full potential. By working with the new administration and Congress, we can ensure that this growth continues to support hundreds of thousands of American jobs while driving innovation in U.S. manufacturing.” said Charles Johnson, president & CEO of the Aluminum Association. “Policymakers across the spectrum recognize the vital importance that aluminum plays in a strong national economy and defense. Working together, America can win the future of aluminum production and recycling.”
The briefing emphasizes the following priorities for a healthy and competitive U.S. aluminum industry:
- Pursue strong, targeted trade enforcement: Enforce robust, targeted trade policies to counteract government-subsidized production and ensure fair competition globally. Unfair trade practices by China are the single largest threat to U.S. aluminum producers. Responses should include stronger import monitoring and tariff harmonization in North America. Such actions will begin to address the $60 billion in subsidies to Chinese aluminum firms that have roiled global markets and put some domestic aluminum assets out of business in recent years. Trade enforcement should be aggressive but targeted to reinforce the partnerships and supply chains that ensure America’s aluminum manufacturing dominance, starting with vital partners like Canada.
- Collect and keep more aluminum for America: Improve collection infrastructure and support policies, including recycling refund and Extended Producer Responsibility (EPR) programs, to boost domestic recycling and secure an essential source of metal supply. Scrap aluminum has always been a critical input material for aluminum manufacturing and material availability encourages and supports domestic investment. Policies to invest in recycling infrastructure and encourage consumer recycling will help reclaim that material – including the more than $1 billion worth of aluminum beverage cans alone currently wasted in landfills each year. Improving aluminum recycling will fuel domestic production and cut energy consumption by 95% compared to making new aluminum. Today, recycled aluminum makes up more than 80% of U.S. aluminum production.
- Recognize aluminum as critical for economic and national security: Create a national strategy to secure aluminum supply chains, recognizing the material’s vital role in critical sectors of the U.S. economy. Today, aluminum is one of only 11 mineral commodities recognized by the U.S. government as essential to all aspects of the U.S. economy. Prepare for an expected 80% rise in global demand by 2050 with expanded domestic capacity through access to clean, affordable and abundant energy. Such a strategy could eliminate reliance on materials from non-market or adversarial countries by prioritizing critical material production and supply (including alloying materials). A national strategy must also make it easier to bring new, affordable electricity generation online for energy-intensive primary aluminum smelters in particular and to upgrade aging facilities.
- Invest in America by investing in aluminum: Augment the industry’s billions in private investment over the past decade with smart infrastructure, tax, and energy policies. Support pro-growth tax policy to strengthen aluminum manufacturing and encourage investment – including the continuation of President Trump’s Tax Cuts and Jobs Act. Maintain and expand programs that promote clean energy and modern American manufacturing, like the Advanced Manufacturing Tax Credit (45X).
Aluminum demand continues to grow, up 5.2% year-over-year in North America (U.S. and Canada) through the first half of 2024. In the last decade, Aluminum Association member companies have announced more than $10 billion in domestic manufacturing operations – including new, U.S.-based greenfield facilities for the first time since the 1980s. Aluminum is growing thanks to increased demand for sustainable packaging, safe and efficient vehicles, greener buildings and vital infrastructure.
Learn more about the Aluminum Association’s policy priorities here.
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About The Aluminum Association
The Aluminum Association represents the full value chain of aluminum production and jobs in the United States, including companies that make 70% of the aluminum and aluminum products shipped in North America. The association is the industry’s leading voice, developing global standards, business intelligence, sustainability research and industry expertise for member companies, policymakers and the general public. Aluminum helps manufacturers make good products great and great products even better – from fuel-efficient vehicles and sustainable packaging to the infrastructure of tomorrow and more. The industry supports $228 billion in economic activity and nearly 700,000 jobs in the United States. Aluminum companies have invested more than $10 billion in U.S. manufacturing over the past decade to capture next generation growth. For more information, visit https://www.aluminum.org.
CONTACT: Katie Rosebrook Aluminum Association 703-358-2966 krosebrook@aluminum.org
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