Press release
For immediate release

Global Aluminium Associations Welcome New OECD Analysis
on State Enterprises(Washington DC, Brussels Belgium, Montreal Canada, Tokyo Japan — July 18, 2024)
The aluminium associations of the United States, Europe, Canada, and Japan welcome a
new report by the Organisation for Economic Cooperation and Development (OECD),
Quantifying the role of state enterprises in industrial subsidies.
The report notes that while state ownership is not problematic in and of itself, there is clear
evidence that industrial subsidies, including below-market finance, tend to increase with theextent of state ownership. State enterprises are also more likely to benefit from favorable
application of competition rules, public procurement practices, and forced technology
transfers.
As in previous work, the OECD highlights the role of state enterprises as major recipients ofindustrial subsidies, but this report also documents state enterprises as major providers ofsupport. Provision of below-market energy inputs by state utilities is common in someenergy-rich countries, while below-market finance by state banks is a widespread subsidy
instrument in China. This is an important new insight for governments striving to level theplaying field and ensure fair competition globally. Viewing government support as anecosystem in which support flows in multiple directions and fundamentally reshapes markets
poses challenges [to current approaches to multilateral rulemaking] but may open the way
for more comprehensive solutions to the multiple market distortions engendered by support
to and through state enterprises.
In welcoming the report, Charles Johnson, President & CEO of The Aluminum Association,
Paul Voss, Director General of European Aluminium, Jean Simard, President & CEO of theAluminium Association of Canada, and Yasushi Noto, Executive Director of the Japan
Aluminium Association noted:“This new report builds on previous OECD analysis of government support provided toaluminium firms which found that, globally, industrial subsidies hugely favored Chinesealuminium firms. Of USD 70 billion provided to seventeen of the largest aluminium
companies between 2103 -17, 85% went to just five Chinese-owned firms. SubsequentOECD analysis examined below-market finance provided by governments to thirty-two major
aluminium companies. That report estimated support to range between 4-7% of the annual
revenue of Chinese firms, compared to support of just 0.2% of the annual revenue of otherfirms. Over the past twenty years, as China’s share of global aluminium production grewfrom 8% to 58%, its share of the industry’s total CO2 emissions grew from 12% to 71%.”“We fully support all efforts by our governments to update multilateral trade rules andeffectively address the non-market practices of state enterprises in global aluminium
markets. We welcome the commitment of G7 Leaders in Apulia …to advancing free and fairtrade, a level playing field, and balanced economic relations, while updating andstrengthening the multilateral rule-based trading system with the WTO at its core.

But until such time as there is a global level playing field and fair competition in aluminium
markets, we urge governments to apply trade defense measures to enable the survival of
our otherwise competitive industrial base.”“On behalf of our member companies and the 1.75 million workers they directly andindirectly support across the United States, Europe, Canada, and Japan, we remaincommitted to working with governments and with international organizations to ensure
widespread availability of responsibly and sustainably produced aluminium.”- 30 About The Aluminum Association
The Aluminum Association represents aluminum production and jobs in the United States, ranging from primary
production to value added products to recycling, as well as suppliers to the industry. The association is theindustry’s leading voice, representing companies that make 70% of the aluminum and aluminum products
shipped in North America. The association develops global standards, business intelligence, sustainability
research and industry expertise for member companies, policymakers and the general public. The aluminum
industry helps manufacturers produce sustainable and innovative products, including more fuel-efficient vehicles,
recyclable packaging, greener buildings and modern electronics. In the U.S., the aluminum industry supports$176 billion in economic activity and more than 634,000 jobs. For more information
visit https://www.aluminum.org or find us on Twitter, LinkedIn, Facebook or Instagram.
About European Aluminium
European Aluminium, founded in 1981 and based in Brussels, is the voice of the aluminium industry in Europe.
We actively engage with decision makers and the wider stakeholder community to promote the outstanding
properties of aluminium, secure growth and optimise the contribution our metal can make to meeting Europe’s
sustainability challenges. Our 100+ members include primary aluminium producers; downstream manufacturersof extruded, rolled and cast aluminium; producers of recycled aluminium and national aluminium associations,representing more than 600 plants in 30 European countries. Aluminium products are used in a wide range ofmarkets, including automotive, transport, high-tech engineering, building, construction and packaging. For media
requests: Kelly Roegies, Senior Manager Communications, M: +32 471 80 20 98, roegies@europeanaluminium.eu
About the Aluminium Association of Canada (www.aluminum.ca/en)
Founded in 1990, the Aluminium Association of Canada (AAC) represents the three Canadian world-classaluminium producers: Alcoa, Alouette, and Rio Tinto. Operating nine smelters in Canada, eight of which inQuebec, they employ over 8,500 workers, producing more than 80% of North America’s primary metal, with$10.2 billion in exports, mainly to the United States. The AAC and its members are active in the development ofbest practices in health and safety and responsible low CO2 production. For more information, visit
http://www.aluminium.ca or Twitter @AAC_aluminium.
About Japan Aluminium Association
Japan Aluminium Association (JAA) was established in 1947 (the former names were the Light Metal Rolling
Association and Light Metal Smelting Association of Japan). Now, around 140 companies join in JAA, theirbusiness fields are various from aluminium fabrication, aluminium remelting and trading, etc. JAA represents
Japanese aluminium industry and plays very important role for such as in public relations (including conveying
industry voices to the government), research & development, energy & environment, safety & health and so on.
Through these activities, JAA tries to enhance values and sustainability of aluminium. For more information visit
http://www.aluminum.or.jp/english/.
Contacts
The Aluminum Association
Matt Meenan, Senior Director of External Affairs, mmeenan@aluminum.org, T: 703-358-2977
European Aluminium
Kelly Roegies, Senior Manager Communications, roegies@european-aluminium.eu, M: +32 471 80 20 98
Aluminium Association of Canada
Jean Simard, President and CEO, jsimard@aluminium.ca, M: 514-825-6593
Japan Aluminium AssociationYasushi Noto, Executive Director, y-noto@alkyo.jp, T: 81-3-3538-0221