Taoiseach says sanctioning Aughinish Alumina would 'harm Europe more than Russia'

The Taoiseach said sanctioning the Limerick-based Aughinish Alumina, which has a Russian parent company, would cause greater damage to Ireland and the EU than to Russia. He referenced a letter sent to his office warning of potential job losses and reduced alumina supply across Europe if sanctions were applied. He said the company’s arguments were not new and did not constitute a threat. He estimated close to 1,000 direct jobs at the plant, plus additional contractor and downstream employment. He said Aughinish supplies alumina to facilities in France and Sweden and is part of a critical European raw material supply chain. He argued sanctions would raise inflationary pressures in the EU and that nationalisation would be too simplistic due to operational complexities.

"“It would have an impact if there were sanctions on Aughinish, in terms of the employment there, so we are looking at about close to 1,000 direct employment in terms of both contractors and 470 odd more who are working there, but also, of course, the downstream impact,” he said at the Bloom festival in Dublin."

"“Aughinish has been part of a wider European supply chain issue. In other words, it supplies products to Dunkirk in France and to Sweden, and so it is designated as a critical raw material.”"

"“The whole principle of sanctions is we don't damage ourselves more than Russia, or that they don't become self-defeating, and it would appear to me now, Aughinish falls into that category.”"

"“It would impact on the Swedish plant, which is the sole supplier of alumina there, and in terms of Dunkirk plant in France, so what you'd get is a very strong inflationary potential outcome of that in the European Union itself, and the impact of Russia would not be significant. So, therefore, you would be harming Europe much more than Russia.”"

Read at Irish Independent