G20 concludes with no concrete solution reached on global aluminium excess

<p>The G20 Summit which was held on 7-8 July 2017, at Haburg Messe, Germany, saw leaders from each country agreeing on the need to remove market-distorting factors and work together to address the global excess of aluminium capacity but no concrete solution could be reached in this regard.</p> <p>It is indeed critical that governments recognise, negotiate and look for solutions together. Nevertheless, we regret that the Summit failed to specifically address the problem of global excess capacity in the aluminium industry&rdquo;, said Gerd G&ouml;tz, Director General of European Aluminium.</p> <p style="text-align: center;"><img style="vertical-align: middle;" src="http://www.alcircle.com/uploads/images/G20_2017_logo.svg_.png" alt="News" width="517" height="317" /></p> <p>G&ouml;tz acknowledged the fact that creation of a Global Forum on aluminium excess capacity was necessary in order to foster a level playing field for all aluminium producing countries of the world. A platform like that would ensure transparency in information sharing and cooperation, critical to establish fair trade environment in the global industry. However, no proper communiqu&eacute; could be made at the Summit.</p> <p>&ldquo;As the G20 represents more than 80% of all primary production and an even greater proportion of the world&rsquo;s semi-fabrication this group remains the appropriate configuration to address this issue&rdquo;, G&ouml;tz admitted.</p> <p>{googleAdsense}</p> <p>The issue of aluminium overcapacity can be viewed as an epicentre of multiple problems. If left unaddressed, the glut would put the entire European aluminium value chain under enormous pressure, leading to huge job loss and investment failures. In addition, GHG emissions would increase dramatically.</p> <p>In a recent public hearing on global imbalances in the aluminium industry, held in Washington DC, European Aluminium spoke about the root cause of the challenges faced by the industry stakeholders. Earlier in 2017, the European, American, Brazilian and Canadian aluminium associations had published a joint letter calling for the creation of a Global Forum on aluminium excess capacity.</p>