A “radical change” is needed to save the European aluminium industry and secure its competitive and sustainable future. Current European policies are contradictory and disadvantageous for small and medium-sized enterprises (SMEs) in the sector, which account for 90% of the workforce and 70% of the value chain. This was the warning issued by Mario Conserva, President of FACE, the Federation of Aluminium Consumers in Europe, at the conference “A Green Competitiveness Agenda for Europe“, held at the Ara Pacis to celebrate the organisation’s 25th anniversary. The event served as a forum for discussion among various players in the aluminium value chain, who are also preparing to tackle challenges posed by the United States under the new presidency of Donald Trump.
“We are victims of market distortions, such as a tariff on a raw material that no longer exists because primary aluminium has not been produced in Italy for about twenty years, and Europe as a whole is now significantly deficient in this essential raw material, covering less than 85% of demand“, said Conserva. “This situation has created a severe crisis, and companies are doing their best to adapt. While they have succeeded in addressing the issue of recycling, they cannot solve the problem of the lack of raw materials on their own. This will become a monumental challenge for Europe, exacerbated by extraordinary sanctions on green metals, which raise material costs for SMEs – businesses we aim to protect – to levels that lead to outright deindustrialisation. We must clearly roll up our sleeves and look forward, especially now, when new policies from the United States are likely to prioritise their interests over those of the European Union”.
Cesare Pozzi, Professor of Industrial Economics at LUISS University, also called for a revision of EU policies to revitalise the manufacturing sector. “If we genuinely want to remain a manufacturing area, we need to understand what this entails culturally. We are unwittingly abandoning the foundations of Europe’s post-war success, which was built on a manufacturing model rooted in local territories. This has been lost for some time, and recovering it will require a different strategy than the one currently envisioned“.
Senator Massimo Garavaglia, Chair of the Finance Commission, expressed criticism of EU decisions on environmental policies and their impact on manufacturing. “They are absolutely right. Let me break it down with a simple calculation, rounded off for clarity. Italy accounts for about 3% of global GDP and 2.5% of emissions – so 3% production, 2.5% emissions. China, on the other hand, represents around 20% of global GDP and 30% of emissions. What does this mean? Since emissions know no borders, the more we produce, the more emissions decrease, while the more China produces, the more emissions rise. This approach is fundamentally flawed. Europe and Italy must produce more“.
From the perspective of businesses, Tiziana Tronci, Board Member of Gefond, called for simplified processes for companies. “We entrepreneurs must have the courage to take a step forward, but we also need support from industry and government. How can this be achieved? For instance, by easing access to credit. Another key factor is making the aluminium sector more attractive to young people. If we are to talk about the future, we must involve and motivate the next generation. A central theme is digitalisation, which enables us to be more competitive and sustainable”.
Here the full article by Askanews: https://askanews.it/2024/11/29/alluminio-face-serve-cambio-radicale-per-salvare-industria-ue/