- Buyer's Guide
Alcoa has announced plans to permanently close its smelter in Alcoa, Tenn., which was curtailed in 2009, along with two of the six idled potlines at its smelter in Rockdale, Texas. These closures will reduce Alcoa’s global smelting capacity of 4.5 million metric tons per year by 291,000 metric tons or about 7 percent.
Additional curtailments, which will be announced in the near future, will reduce Alcoa’s global smelting capacity by an additional 240,000 metric tons or about 5 percent.
“These are difficult but necessary steps to improve Alcoa’s competitiveness, preserve and grow shareholder value and protect jobs in the rest of the Alcoa system,” said Alcoa chairman and CEO Klaus Kleinfeld.
In addition to the curtailments, the company will accelerate actions to reduce the escalating cost of raw materials.
Kleinfeld added that Alcoa will work with all affected communities to explore ways to redevelop closed facilities and will consult with employees and work unions/councils impacted by curtailments.
“We recognize our responsibility to the people and communities of the affected facilities,” he said.
The curtailments are expected to be complete by the first half of 2012. Alcoa’s alumina production will be reduced across the global refining system to reflect the final curtailments in smelting as well as prevailing market conditions. The curtailments will contribute to the company’s long-term goal of lowering Alcoa’s position on the world aluminum production cost curve by 10 percentage points.
For more information, visit www.alcoa.com.