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18 MAY 2019 AL CIRCLE

US congressmen urge for an investigation into Rusal's investment in Braidy's rolling mill

EDITED BY : BEETHIKA BISWAS 2MINS READ

A group of Congressional leaders in the US have requested the Trump administration to review Rusal’s investment in the Braidy aluminium rolling mill.

Eight prominent Democratic lawmakers with leadership roles in committees with oversight, banking and national security responsibilities, including Ohio Sen. Sherrod Brown and House Intelligence Committee Chair Rep. Adam Schiff came up with the request.  

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Rusal has announced US$200 million investment in the Braidy’s rolling mill at eastern Kentucky.  The lawmakers request for an investigation considering the fact that Rusal came under sanction from Treasury department for the “worldwide malign activities” of the company’s primary owner, Oleg Deripaska.  They said they are deeply alarmed at the news of the investment.

“The proposed investment by En+– a company that is majority-owned by a U.S.-sanctioned Russian national and Russian state bank — in an American aluminum mill, raises serious questions of national security,” lawmakers wrote. 

Though sanctions were removed with the stepping down of Deripaska, lawmakers worry the Russian government may be using the Kentucky investment to exploit political favour.

The investment in Kentucky came just months after the sanctions on Rusal were withdrawn by the Treasury.

Reports of Braidy Industries’ unspecified sales to defence industries led lawmakers to worry Russia’s involvement could cause “potential risk to the integrity of the American defense supply chain,” lawmakers said.

“We don’t have any discussion with any global party about business transactions without lawyers present helping us craft the right discussions,” Braidy Industries CEO Craig Bouchard said.

The mill is also under criticism over the unusual direct investment of US$15 million in taxpayer dollars, which effectively make Kentucky taxpayers part owners in the venture.  Kentucky  workers are however hopeful about the new Braidy mill to bring hundreds of industrial jobs to the region.

 


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EDITED BY : BEETHIKA BISWAS 2MINS READ

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