Press Releases

Today, Congressman Jason Smith met with President Trump at the White House as he signed a Presidential memorandum to stop foreign countries from flooding the global markets with subsidized aluminum. Countries subject to the action include China, Russia, Canada and Mexico.

Countries like China lack natural advantages to produce aluminum yet there is still a severe oversupply of Chinese-produced aluminum in the world market. This oversupply is largely due to their government illegally subsidizing the industry and has made it nearly impossible for American aluminum producers to compete. In addition to illegal Chinese subsidies, U.S. aluminum producers are at a regulatory disadvantage.

“The regulatory environment in foreign countries like China are vastly less bureaucratic than the United States, which makes production less complex, less cumbersome and less costly,” said Congressman Smith. “I am constantly fighting to lift the bureaucratic burden and end environmental regulations that prevent U.S. manufacturers from keeping up with their foreign competitors.”

In 2000, there were 22 aluminum smelters in the United States, and now there are only two fully operational facilities left. In that same time period, China’s share of worldwide aluminum smelting market has grown from 11 percent to now nearly 55 percent. Unable to compete in a market overwhelmed with subsidized aluminum and artificially low prices, Noranda Aluminum in southeast Missouri was forced to close last year.  

“Watching the bootheel lose more than 900 good-paying jobs was flat out heartbreaking,” said Congressman Smith. “Even worse was knowing that an unfair playing field and over production in China were major contributing factors. But I am encouraged by President Trump’s efforts. Actions like the one he took today are the start of revitalizing and reinvigorating the American aluminum industry.”   

Smith has a strong record of fighting for aluminum production. Last year, Smith led a bipartisan initiative that called for the U.S. International Trade Commission to investigate factors affecting the global competitiveness of the U.S. aluminum industry, including overproduction and subsidies in other countries.

“American manufacturers are ready to compete, but we have to make sure the playing field is level,” said Congressman Smith. “President Trump has started the process of stopping foreign countries from cheating on trade and creating a level playing field for our hard-working American aluminum manufacturers.”

Aluminum production is not only an economic concern, but a national security issue as well. The product is a key element to constructing military aircrafts, armored vehicles, combat vessels and missiles.

“America is safer when we rely on our resources at home,” said Congressman Smith. “Foreign manufacturers don’t have the same standards as American manufacturers, and it is a threat to our national security to risk the quality of production with imported aluminum from foreign countries.”

“The American aluminum industry has been severely damaged by unfair foreign trade. Cheap subsidized imports have flooded into the market, destroying thousands of great American jobs,” said President Trump. “Eight U.S. based smelters have either closed or reduced production since 2015. Only two smelters remain fully operational in our country.”

Noranda Aluminum was one of the eight U.S. based smelters that closed.

Right now, the U.S. aluminum industry creates $186 billion in economic output and supports nearly 678,000 jobs in the United States and over 2,800 jobs in southeast and south central Missouri. Stopping foreign countries from flooding the global markets with subsidized aluminum will increase opportunities for quality aluminum production in the United States and promote national security by ensuring the quality of aluminum products made for the United States Military.