en.Wedoany.com Reported - The Organisation for Economic Co-operation and Development (OECD) recently released the 2026 OECD MAGIC Industrial Subsidies Database. The Aluminum Association (US), European Aluminium, the Aluminum Association of Canada (AAC), and the Japan Aluminum Association (JAA) commended the release of the database. The database provides public data on subsidy estimates across 15 industrial sectors from 2005 to 2024.
The OECD MAGIC database shows that global industrial subsidies have grown steadily in recent years, reaching their highest level in 2024 since the peak of the 2008-2009 global economic crisis. While subsidies are common across countries and industries, Chinese companies receive significantly higher subsidies than their counterparts in other regions, with the most concentrated subsidies found in solar panels, semiconductors, and aluminum.
Database data shows: Between 2005 and 2024, total aluminum industry subsidies amounted to $118.3 billion, of which China provided $101.4 billion (86% of the total), OECD countries provided $5.4 billion, and the rest of the world provided $11.5 billion. In 2024, total aluminum industry subsidies were $11.1 billion, with China contributing $10.2 billion (92% of the total), OECD countries contributing $399 million, and the rest of the world contributing $504 million. In 2024, subsidies as a share of aluminum company revenue were: China 4.4%, OECD countries 0.5%, and the rest of the world 0.5%.
These new data confirm earlier OECD analysis, which noted that China's state-owned enterprises are not only recipients of support measures but also major providers, particularly through state-owned banks offering below-market financing. State-owned enterprises are also more likely to benefit from preferential competition rules, public procurement practices, and forced technology transfer. Understanding this complete ecosystem is crucial for governments seeking to ensure fair global competition. Individual countries' trade defense measures are insufficient to address the scale, scope, and duration of China's industrial support ecosystem.
In a joint statement on the data release, Charles Johnson, President and CEO of the Aluminum Association (US); Paul Voss, Director General of European Aluminium; Jean Simard, President and CEO of the Aluminum Association of Canada; and Yasushi Noto, Executive Director of the Japan Aluminum Association, said that the OECD's work over the past eight years has provided transparency on global aluminum industry subsidies, and the latest data shows that over the past two decades, China has provided extremely high levels of support to its companies through subsidies. Due to these massive subsidies, China's share of global primary aluminum production has grown from 11% to 61% in 20 years. This growth continues and is spilling over into the production and export of semi-finished aluminum products and high value-added manufactured goods, even extending to aluminum recycling. The aluminum association representatives stated that China's subsidy-based dominance of the global aluminum market threatens the national security of G7+ countries and requires collective action to offset China's aluminum support ecosystem, such as imposing common tariffs on aluminum imports, restricting aluminum scrap exports, and eliminating unnecessary trade restrictions among G7+ countries. The aluminum associations representing the United States, Europe, Canada, and Japan are already collaborating to develop an interoperable aluminum import monitoring system to support this collective action. The associations, representing their member companies and the 1.75 million workers they directly and indirectly support, are committed to working with governments and international organizations to build secure regional aluminum supply chains.
Following the release of the OECD database, the aluminum associations representing the United States, Europe, Canada, and Japan published a report titled "2026 Aluminum Industry International Action Priorities," highlighting actions the industry can take collectively. The associations noted that they are already collaborating to develop an interoperable aluminum import monitoring system to support collective action by G7+ economies in addressing the risks posed by China's subsidy-based market dominance.
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