$259 Million Part of Advanced Technology Vehicles Manufacturing Program
Contact: Roy Houseman: 202-288-3573, rhouseman@usw.org
WASHINGTON, D.C. (March 26, 2015) — The United Steelworkers (USW) union today expressed support for a U.S. Department of Energy loan to Alcoa Inc. to help the company expand a Tennessee factory to produce lightweight aluminum for use in the automotive industry.
The $259 million loan is part of the federal Advanced Technology Vehicles Manufacturing (ATVM) program, which aims to encourage the use of new technology to create fuel-efficient and alternatively fueled vehicle production through loans, loan guarantees and commitments.
“This loan is yet another example of the Obama administration’s commitment to job creation, as well as its commitment to new technology and environmental protection,” said USW International President Leo W. Gerard. “This loan will help to create good, family supporting jobs, which will bring more innovation and efficiency to the U.S. auto industry.”
Alcoa has said that the Tennessee factory expansion will cost $275 million and create 200 permanent jobs once completed in mid-2015.
“It’s essential that our leadership in Washington and around the country follow this example and continue to support the growth and expansion of American manufacturing,” Gerard said. “It’s the key to rebuilding the middle class and creating an economy that works for all Americans.”
The ATVM program began in 2008 during the financial crisis but faced criticism after several loan recipients ended up in financial trouble. The program was revived and revamped last year to include vehicle component manufacturers.
The USW is the largest industrial union in North America, representing workers in a range of industries including metals, mining, rubber, paper and forestry, oil refining, health care, security, hotels, and municipal governments.
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