Sardinia: the revival of the aluminium industry has stalled; pressure is mounting on the Ministry of Economic Development
The latest meetings at the Ministry regarding Eurallumina and Sider Alloys have come to nothing. The commitment of the regional government and the trade unions
Key points
The aluminium industry is struggling to get back on its feet. Even the last two meetings at the Mimit on Tuesday came to nothing. No progress has been made in the dispute which, on the one hand, involves Eurallimina and, on the other, Sider Alloys. These are two companies with two separate disputes, but they are regarded as the first and second links in the supply chain.
The subsidiary Rusal
In the case of Eurallumina, a company which, under the control of the Russian firm Rusal, was involved in the processing of bauxite into alumina (from which primary aluminium is subsequently produced) until it ceased operations in March 2009, the company is now facing a freeze on its funds due to sanctions against Russia. This situation has led Rusal to suspend payments to its subsidiary – amounting to around 2.4 million euros per month – and to put on hold the recovery plan worth over 350 million euros.
Trade unions voice criticism
It is no coincidence that the relevant trade unions have issued a ‘negative assessment of the meeting’. According to representatives of Filctem, Femca and Uiltec, the issue stems ‘from delays in the day-to-day management of resources intended to safeguard environmental standards and in routine administrative management’. ‘As well as failing to resolve the issue regarding the share freeze,’ the trade unions write, ‘there are significant delays in the disbursement of the funds promised to preserve the plant. Discussions with Rusal regarding the future are proceeding with difficulty; consequently, the Ministry of Economic Development (MIMIT) has announced that it has launched a detailed legal and legislative review aimed at creating the conditions for a possible receivership, with the aim of appointing an ad hoc administrator’.
Region puts pressure on Mimit
The regional government is also putting pressure on the national government. “We must move from crisis management to an industrial strategy capable of ensuring competitiveness, continuity of production and employment,” emphasises Emanuele Cani, regional councillor for Industry. “ In the case of Eurallumina, not only is there a need to continue discussions with the current owners, but also to prepare a Plan B, given the ongoing uncertainty caused by the complex geopolitical situation. We cannot continue to wait without any prospects. If a solution with the current owners does not emerge soon, we must also consider a third party and all the measures that can guarantee the plant’s continuity and facilitate the possible entry of new investors.”
A dispute has also arisen concerning Sider Alloys, the company that took over the plant in Portovesme which used to produce aluminium ingots and billets for Alcoa.
