Alcoa’s CEO, William Oplinger, has noted that the company is likely to redirect its Australian aluminium output to the US, if the United States imposes tariffs on Canadian imports.

U.S. President Donald Trump has threatened to implement tariffs on various countries, including Canada and Mexico.

Alcoa produces 2.2 million metric tons of aluminium annually, with 900,000 metric tons manufactured in Canada. A significant portion of the Canadian output is sent to the United States.

Trump is considering imposing 25% of the duties on imports from Canada and Mexico starting in February. Oplinger said that Alcoa would likely reroute its aluminium produced in Canada to Europe.

Rariffs could result in an additional $1.5 billion to $2 billion in costs for aluminium consumers in the United States.

Europe remains Alcoa’s largest market for low-carbon aluminium, where the company ships nearly half of its production.

The orignal story appeared in Reuters: https://www.reuters.com/markets/commodities/trumps-tariffs-could-redirect-metal-flows-alcoa-ceo-says-2025-01-23/