Major UAE Investment Aims to Bypass U.S. Tariffs
Emirates Global Aluminium (EGA), the largest industrial company in the United Arab Emirates outside oil and gas, has announced plans to construct a $4 billion aluminum smelter in Oklahoma. This move aligns with U.S. efforts under President Donald Trump to attract Gulf state investments while reinforcing America’s industrial base.
Set to begin construction by the end of 2026, the smelter will produce up to 600,000 tons of primary aluminum annually and is expected to be operational by 2030. EGA emphasized that the project’s progress depends on securing affordable electricity, tax incentives, and local government support.
Strategic Shift to U.S. Manufacturing
Trump’s announcement of $200 billion in deals with the UAE—part of a broader Middle East investment initiative—includes this aluminum plant as a centerpiece. EGA confirmed that it signed an exclusive land option agreement near Tulsa and is in advanced talks with both the Public Service Company of Oklahoma and state authorities.
The project is seen as a strategic response to U.S. tariffs on aluminum imports. Trump noted that building the smelter on U.S. soil would help EGA avoid “big tariffs” if the facility had been constructed in the UAE instead.
Strengthening U.S.-UAE Technology Ties
In parallel, EGA is collaborating with U.S. defense contractor RTX Corp. and the UAE’s Tawazun Council on a high-tech gallium production venture. Gallium is a critical mineral used in semiconductors and defense applications. The element will be extracted and refined at EGA’s alumina refinery in Abu Dhabi, positioning the company as a key supplier in a geopolitically sensitive industry.
Previous U.S. Acquisition Sets the Stage
This project follows EGA’s first U.S. acquisition in 2023 when it purchased an 80% stake in Spectro Alloys Corp., a Minnesota-based aluminum recycler. EGA stated at the time it would continue expanding its U.S. footprint to mitigate the impact of tariffs and support local supply chains.
Outlook: Global Strategy Meets Local Advantage
EGA’s new plant is part of a broader vision to strengthen industrial partnerships between the UAE and the U.S. while ensuring long-term access to the American market. With aluminum demand rising in sectors like automotive, aerospace, and renewable energy, the Oklahoma facility could play a key role in both countries’ economic and strategic interests.
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