A Government TD says any proposed sanctions on Aughinish Alumina would have had unintended consequences for North Kerry and West Limerick.
Minister of State Niall Collins was reacting after the European Commission decided to hold off on sanctioning on the refinery.
The Russian-owned plant is a significant employer in North Kerry and West Limerick, located off the N69 close to Askeaton.
It processes bauxite, which is a sedimentary rock with a relatively high aluminium content.
Fianna Fáil TD for Limerick County, Junior Minister Niall Collins says the government would not support sanctions which would impact the area.