22 OCTOBER 2013www.thealuminiumdialog.com
Canadian aluminium industry satisfied with free trade agreement with Europe
Edited by : AL CIRCLE
2 min read
“The free trade agreement with Europe is an unprecedented growth opportunity for the Canadian aluminium industry because it will drive the gradual elimination of tariffs on aluminium imports, such as, 7% on rods, 6% on billets, foundry and slabs, as well as 3% on remelt,” said Jean Simard, President and Chief Executive Officer, Aluminium Association of Canada, at the signing of the memorandum of understanding for a possible Canada–Europe free trade agreement. “We look forward to signing the agreement as it will open the door to a large-scale market for Canadian aluminium production.”
The organisation and Mr. Simard applaud the excellent work accomplished by the Canadian and Quebec governments’ negotiators, the Honourable Ed Fast, Minister of International Trade, and the Honourable Pierre-Marc Johnson, mandated to represent Quebec.
As Mr. Simard points out, however, this anticipated growth is dependent on a competitive energy offering or, in other words, winning conditions for the industry.
About 70% of the aluminium produced in Canada is value added: rods and alloys could supply, in particular, the European automobile market, as well as other niche markets currently coveted by the Middle East. Over the last five years, the Middle East has tripled its capacity, producing four million tonnes in 2012 and surpassing Quebec’s capacity, at two cents per KWH to ensure growth.
“Now that the stage is set, we encourage the Government of Quebec once again to use our clean, renewable energy to take advantage of these new markets by exporting our energy into value-added aluminium products manufactured by our plants,” says Mr. Simard.
Quebec must focus on entering into a free trade agreement with Europe by providing winning conditions, such as a competitive energy offering, for the different industrial sectors. This way, the entire aluminium value chain will benefit — suppliers, equipment manufacturers and fabricators — in addition to 5,000 companies throughout Quebec.
The organisation and Mr. Simard applaud the excellent work accomplished by the Canadian and Quebec governments’ negotiators, the Honourable Ed Fast, Minister of International Trade, and the Honourable Pierre-Marc Johnson, mandated to represent Quebec.
As Mr. Simard points out, however, this anticipated growth is dependent on a competitive energy offering or, in other words, winning conditions for the industry.
About 70% of the aluminium produced in Canada is value added: rods and alloys could supply, in particular, the European automobile market, as well as other niche markets currently coveted by the Middle East. Over the last five years, the Middle East has tripled its capacity, producing four million tonnes in 2012 and surpassing Quebec’s capacity, at two cents per KWH to ensure growth.
“Now that the stage is set, we encourage the Government of Quebec once again to use our clean, renewable energy to take advantage of these new markets by exporting our energy into value-added aluminium products manufactured by our plants,” says Mr. Simard.
Quebec must focus on entering into a free trade agreement with Europe by providing winning conditions, such as a competitive energy offering, for the different industrial sectors. This way, the entire aluminium value chain will benefit — suppliers, equipment manufacturers and fabricators — in addition to 5,000 companies throughout Quebec.
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