Atalco Alumina Plant in St James Parish faces global market pressures, environmental scrutiny

Published 11:12 am Friday, June 13, 2025

Atalco’s Gramercy facility in St. James Parish. Credit: Louisiana Chemical Association
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Atalco’s facility in St. James Parish, the last remaining alumina producer in the United States, is facing mounting pressure from Chinese product dumping and environmental activist criticism, as state and industry leaders rally in support of its economic and national defense contributions.

The Gramercy plant supplies alumina, a critical input for aluminum used in aerospace, military, and manufacturing applications. Industry leaders say China’s state-backed overproduction has created artificially low global prices, posing a threat to U.S. supply chain security.

“This is a tactic we see repeated against American manufacturers,” said David Cresson, CEO of the Louisiana Chemical Association. “If successful, it could irreparably disrupt the security of supply chains that keep American industry running.”

Gov. Jeff Landry called the issue one of national survival. “We’re not handing our future to foreign adversaries,” he said, citing Louisiana’s role in safeguarding vital domestic industries.

Atalco supports over 550 jobs, 70 percent of which are unionized, and half of which are held by individuals from minority communities. Despite this, the company has drawn criticism from environmental groups, which company officials say distorts regulatory progress and threatens local livelihoods.

“These are our neighbors—raising families here, supporting small businesses, contributing to our schools, and helping fund local infrastructure through millions in local and state tax revenue”, said Ray Gregson, CEO of the River Region Chamber of Commerce. “The work they do isn’t just important—it’s essential to the nation’s defense systems, aerospace, and the supply chain. The impact of Atalco in the River Parishes is real, direct, and irreplaceable.”

The company has invested over $30 million in new residue filtering technology that cuts waste by 35% and moves the site away from wet waste storage. Louisiana Economic Development Secretary Susan Bourgeois called it a “global first” and praised Atalco’s environmental progress.

Atalco has also invested more than $10 million in dust collection systems and is collaborating with the Louisiana Department of Environmental Quality to enhance compliance.

The Gramercy site produces up to 1.2 million metric tons of alumina annually. Advocates warn that its closure could create dangerous foreign dependence.

“This isn’t just a local fight — it’s about national security,” Cresson said. “We cannot afford to lose the last American producer of this essential resource.”