 |
||
   Import Chronology |
 |
 Stand Up For Steel   Weirton Steel Corporation Trade Case Statement Since 1997, there has been a surge of steel imports into the United States. Weirton Steel and the rest of the U.S. steel industry are not opposed to free trade. However, the industry is opposed to unfair/illegal trade. Much of the steel entering the U.S. from 1997 through today has been shipped in violation of the federal government’s trade laws. The violations have been in the form of "dumping." Dumping occurs when a country sells its product in the U.S. at a price lower than it does in its own country, or when it is sold at a price below the cost of manufacturing the product. In some cases, foreign steelmakers also have been subsidized by their governments. In 1995 and 1996, before the import crisis began, steel imports totaled 24.4 million tons and 29.2 million tons, respectively. The years 1997 through 1999 showed an explosion in steel imports – the three highest years in U.S. history. The tonnages were as follows: 1997, 31 million; 1998, 41.5 million; ;and 1999, 36.5 million. The U.S. government has struggled to enforce its trade laws against illegal imports. But in late 1998 through 1999, domestic steel prices plummeted and 10,000 steelworkers across the country were laid off. In addition, all domestic integrated steelmakers lost money and five filed for bankruptcy protection. All of this was a direct result of illegal imports. The industry has attempted to gain passage of federal legislation to strengthen trade laws, but it has not been overly successful. However, Weirton Steel, other domestic companies and unions, including Weirton’s Independent Steelworkers Union, have taken legal action with the U.S. government involving a number of foreign countries and several types of steel imports. The overall issue, however, remains pricing. While imports have been stemmed, foreign steel that continues to flood U.S. shores at cutthroat prices.
|
