Issue Position: Stop Jobs from Going Overseas!

Issue Position

US aluminum (Al) production is on the endangered list. For this industry to thrive, it needs an environment of plentiful, low cost energy with a favorable climate of deregulation. Recently, the Ormet smelting plant in Hannibal, Ohio closed after it could not secure a low enough utility rate to survive. Electricity costs account for 30%-40% of the cost of production. The selling price of aluminum is down but the cost of energy is up (shrinking the profit margin). Therefore, production costs alone may halt this industry in the US --costing more jobs.

If primary Al production vanishes in the US, northeast Ohio manufacturers of secondary Al and Al alloy products must depend on imports. Yet, worldwide demand continues to rise. We need to expand production instead of shutting it down. Because resorting to dependence on imported Al for transportation, automotive, aerospace, packaging, construction, and electrical industries is not a plan for future economic security.

Aside from increased energy costs, challenges to the Al industry are: 1) expected cost increases of importing the raw material, bauxite ore 2) regulations on CO2 emissions 3) regulations that require new smelters generate their own electricity and 4) low Al market prices due to cheaper, Chinese imports.

I advocate two changes for this industry that will secure a Made in America future:

An on-site Liquid Fluoride Thorium Reactor (LFTR) produces electricity for $.02/kilowatt hour. There are zero carbon emissions from a LFTR (so, no EPA carbon emission regulations). This drastic energy cost cut will bring back profits, make US Al production competitive in the world market, and bring back jobs.

Replace imported bauxite with the fly ash in our landfills. Fly ash is a waste product from burning coal. Recovering the metals from this waste product will eliminate the need to import bauxite. It contains 15% -22% alumina. The US makes ~60 million tons of fly ash annually. A LFTR also provides the heat needed for processing fly ash.

LFTR technology will expand US presence on the world Al market while it answers every challenge to the industry. I want Ohio to lead the nation and the world in development of this technology.

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