US must reimpose sanctions on Rusal, US FSC Chair Waters, McHenry says
WASHINGTON DC (CI UKRAINE) -- US House Financial Services Committee Chair Maxine Waters (D-CA) and Ranking Member Patrick McHenry (R-NC) said the US administration of President Joe Biden must re-impose economic sanctions on Russian oligarch Oleg Deripaska’s United Company Rusal [MCX:RUAL] aluminum concern.?
[US House Financial Services Committee Chair Maxine Waters (D-CA) and Ranking Member Patrick McHenry speak (R-NC) speaks to Capitol Intelligence/CI Ukraine using CI Glass on re-imposing US sanctions on Oleg Deripaska’s Rusal aluminum group and secondary sanctions on Chinese companies acquiring Russian assets at the American Bankers Association Washington Summit at the Marriott Marquis in Washington, DC on March 8, 2022]
Speaking exclusively to Capitol Intelligence at the American Bankers Association Washington Summit, US FSC Chair Maxine Waters and Ranking Member McHenry showed bipartisan support to re-impose economic sanctions after receiving waivers from the Trump administration in December 2018.
Chairwoman Waters said she had always opposed the decision by then Treasury Secretary Steven Mnuchin to waive economic sanctions against Rusal and that she was further disturbed by Rusal’s takeover of bauxite mining assets in Jamaica.
A source close to Rusal warned that reimposing sanction on Rusal will significantly disrupt aluminum supply and place new inflationary pressure in the United States.
“If the US wants aluminum prices to follow those of nickel and platinum and destroy the US economy then I guess this would be the right thing to do,” the source said.
In fact, Rusal has leaked to the financial media that it is planning to spin-off its non-Russian activities into a separate company.
Rusal is the second largest aluminum producer after China Hongqiao Group and accounts for almost 9% of world’s alumina production while Pittsburgh-based Alcoa [NYSE:AA] ranks as the sixth largest aluminum concern.
The Rusal source said a merger with Alcoa would be blocked on Antitrust grounds.
House Financial Services Ranking Member Patrick McHenry said that the Biden administration should also prepare secondary sanctions against all those trading Russian assets, especially state-owned or controlled Chinese companies.
Banking and legal sources said that Dubai has become a center of sanction breaking, with many financial parties attempting to buy Russian assets at “fire sale” prices.
McHenry said that European sanctions against Russia for its Ukraine aggression was vital as US trade with Russia is miniscule compared to China.
"Our trade with China versus our trade with Russia.?Two weeks of trade with China equals a full year of Russian-American trade," McHenry told the ABA.
Maxine Waters and Congressman’s McHenry call for renewed sanctions came minutes before President Joe Biden announced the banning of Russian oil, gas and coal imports into the United States.
PK Semler in Washington, DC.?For more information, please email [email protected]
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