EU is warned against sanctioning Russian aluminum giant – Reuters

EU industry group European Aluminium warned this week against placing sanctions on Russian aluminum giant Rusal in a letter to members seen by Reuters.

According to the report, the trade body said its members have been discussing the possibility of “actively calling for EU sanctions on Russian aluminum,” while excluding Rusal from the restrictions.

“Due to its strategic importance on the global aluminum market, European Aluminium recommends avoiding that EU sanctions would target Rusal as a company,” the trade body was cited as saying.

Brussels has so far only partially limited imports of aluminum products from Russia. It banned deliveries of aluminum plates, sheets, and strips with a thickness over 0.2mm. European Aluminium Director General Paul Voss told Reuters that discussions regarding sanctions on Russian aluminum are “purely an internal exercise.”

“There is no suggestion at all as far as I’m aware that the European Commission is planning any new sanctions at this stage,” he said.

However, the Russian aluminum industry has increasingly become a target for Western restrictions. In February, the US imposed 200% duties on imports of Russian-made aluminum products. In March, Canada banned imports of Russian aluminum and steel. In May, the UK also revealed plans to ban imports of Russian aluminum. In its letter, European Aluminium said it supports these efforts, “including new tariffs on aluminum imports from Russia.”

Rusal is the world’s largest aluminum producer outside of China, and the primary producer in Russia. In 2022, the company accounted for around 5.6% of global aluminum output. Rusal owns the largest refinery of raw alumina in EU, Ireland’s Aughinish, as well as the Kubal smelter in Sweden.

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