Trade Statement of The Aluminum Association

The members of The Aluminum Association are domestic producers of primary and secondary ingot and aluminum mill products, and their suppliers. Mill products include sheet and plate, foil, extrusions, forgings and impacts, electrical conductor, wire, rod, and bar. The membership also includes producers of master alloys and additives and aluminum pigments and powders. The Association is a primary source for statistics, technical standards, and information on aluminum and the aluminum industry in the United States. While Association member companies conduct business worldwide, the U.S. aluminum industry ranks fourth in the world in annual primary aluminum production capacity. In 2006, it produced approximately 2.3 million metric tons of primary aluminum.

Overview

The members of the Aluminum Association are fully committed to a fair and open world market for aluminum. The Aluminum Association strongly supports the initiation of global trade negotiations in the World Trade Organization (WTO). The Association supports a comprehensive approach to the phased-in reduction and elimination of tariffs over a multi-year period, not to exceed 10 years. In addition, we believe that all aluminum producing, importing, and exporting countries should participate in the Round, and that no country be required to reduce or eliminate its tariffs on a unilateral basis.

Background

 

The aluminum industry is global. The largest aluminum producers are multinational companies with production, fabrication, and distribution facilities around the world. During 2005, world aluminum primary production totaled an estimated 31.9 million metric tons.

The leading producing countries include the United States, Russia, Canada, the European Union, China, Australia, Brazil, Norway, South Africa, Venezuela, the Gulf States (Bahrain and United Arab Emirates), India, and New Zealand; together they represent more than 90 percent of global primary aluminum production. The largest aluminum markets are North America, Europe. and East Asia.

North America is both a major importer and exporter of aluminum. Approximately 6.3 billion pounds of the North American supply of aluminum was imported in 2005 from foreign producers in the form of primary ingot and scrap, while North American exports amounted to 4.7 billion pounds of shipments in the form of ingot, scrap, and mill products.

The free flow of aluminum products on a global scale is vital to the future success of the U.S. aluminum industry.