Aluminum Association President and CEO Tom Dobbins issued the following statement in response to the announcement by the Office of the U.S. Trade Representative (USTR) removing recently reimplemented tariffs on imports of unwrought, or P1020, aluminum from Canada into the United States. The decision was made after “the United States … determined that trade in non-alloyed, unwrought aluminum is likely to normalize in the last four months of 2020, with imports declining sharply from the surges experienced earlier in the year,” consistent with industry expectations.
Arconic Corp. launched as a provider of advanced aluminum sheet, plate, extruded and architectural products that primarily advance the ground transportation, aerospace, industrial, packaging and commercial building markets. The separation of Arconic Inc. into two stand-alone companies – Arconic Corp. and Howmet Aerospace Inc. (the new name for Arconic Inc.) – took effect April 1, 2020, through a pro rata distribution by Arconic Inc. of 100% of the outstanding shares of the newly formed Arconic Corp.
Novelis Inc. broke ground on a $36 million investment to expand and upgrade recycling capacity at its Greensboro, Ga., facility. The project includes adding state-of-the-art equipment for aluminum scrap recycling, a new baghouse for improved dust mitigation and enhanced designs for safer and more efficient traffic flow. The company expects to complete the project by fall 2021. The investment will expand the company’s capabilities in automotive closed-loop recycling, a process to take aluminum scrap created during stamping and recycle it for new vehicle production. Closing the loop preserves the value of the alloy, reduces cost, minimizes environmental impact and establishes a secure supply chain.
Pyrotek Inc. is scheduled to complete construction of a new manufacturing facility in Dubai, United Arab Emirates, in November to serve and supply the rapidly growing aluminum smelting operations of the region. The first phase of construction will provide 66,000 square feet of floor space, and there is enough land at the site to allow for an eventual doubling of the plant footprint. Spokane, Wash.-based Pyrotek is scheduled to occupy the facility in January 2020.
Novelis Inc. announced that the European Commission has approved its proposed acquisition of Aleris Corp. The approval is conditioned upon the sale of Aleris' plant in Duffel, Belgium, which produces aluminum for the automotive and specialties markets. Novelis is working to market the plant to potential buyers. With this conditional approval in the European Union, as well as a clear path forward for approval in the U.S., the Atlanta-based company continues to work closely with the Chinese State Administration for Market Regulation (SAMR) to receive its approval. According to Novelis, the transaction will strengthen its ability to compete against steel in the automotive market, meet growing customer demand for aluminum and achieve its recycling goals.
Alcoa Corp. announced that, effective Nov. 1, 2019, it will implement a new operating model that will result in a leaner, more integrated, operator-centric organization that accelerates the company’s strategic priorities. Alcoa will eliminate its business-unit structure and consolidate sales, procurement and other commercial capabilities at an enterprise level. Under the new operating model, the Alcoa Executive Team will also be streamlined from 12 to seven direct reports to the CEO.
Novelis Inc. reaffirmed its full commitment to closing its proposed acquisition of Aleris Corp., a global supplier of rolled aluminum products, notwithstanding the U.S. Department of Justice (DOJ) lawsuit to block the transaction. Atlanta, Ga.-based Novelis intends to vigorously defend against the DOJ's challenge, which it believes is without merit. Novelis announced in July 2018 that it signed a definitive agreement to acquire Cleveland, Ohio-based Aleris for approximately $2.6 billion.
Novelis Inc. announced a collaboration with the Georgia Institute of Technology (Georgia Tech) to establish the Novelis Innovation Hub at Georgia Tech. The company will invest $2.5 million to initiate research, faculty, student and educational program support. The collaboration will promote aluminum research, innovative business models and related educational endeavors at Georgia Tech and will serve as a cross-functional hub connecting Novelis’ technical and business innovators with Georgia Tech’s students and faculty.
Alcoa Corp. announced that the Aluminerie de Bécancour Inc. (ABI) smelter plans to restart curtailed smelting capacity after members of the United Steelworkers union in Quebec approved a six-year labor agreement. The smelter, which is owned by Alcoa (74.95%) and Rio Tinto Alcan Inc. (25.05%), has total capacity of 413,000 metric tons per year. The restart will begin on July 26 and is expected to be complete in the second quarter of 2020.