[Congressional Record Volume 142, Number 15 (Monday, February 5, 1996)]
[Extensions of Remarks]
[Page E152]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




         TWENTY-FIFTH ANNIVERSARY OF THE FERROALLOY ASSOCIATION

                                 ______


                           HON. RALPH REGULA

                                of ohio

                    in the house of representatives

                       Thursday, February 1, 1996

  Mr. REGULA. Mr. Speaker, this year marks the 25th anniversary of the 
Ferroalloy Association representing U.S. producers of Ferroalloy 
products. It is an industry that has supported America's economic 
engine through wars, depression, and into the information age. You have 
seen its products in the shiny metal surface of a new car, or the armor 
plating of an M1A1 tank patrolling the streets of Bosnia. It is a 
product critical to the production of steel, iron, aluminum, and 
silicon, as well as newer applications in chemicals, semiconductors, 
solar cells, coatings and catalysts. As a collection, the over 50 
different alloys and metals ferroalloys are critical to the economic 
well being of the United States.
  Apart from its pivotal position within our commercial economy the 
ferroalloy industry has long been a strategic asset in the defense of 
our Nation. Begun just over 100 years ago with the introduction of the 
electric-arc furnace in 1892, the industry expanded rapidly 7 years 
later when it was called on to meet the needs for projectiles and armor 
plate during the Spanish American War. Since that time, domestic 
producers have seen major expansions during every war period up to the 
last expansion during the Vietnam war. Each time the industry met the 
challenges placed upon it as part of the defense industrial base.
  However, in recent years, U.S. manufacturers have watched capacity 
and jobs sharply decline, due primarily to increased foreign imports 
and increased regulatory requirements. During the 1970's there were 15 
companies with 26 plants operating 97 furnances. By 1990 there were 
only 12 companies with 16 plants operating 42 furnaces. In a matter of 
two decades, a more vibrant domestic industry had lost 60 percent of 
its work force and was expected to cease to exist completely by the end 
of the century.
  But, in response to these difficulties, management and workers joined 
together to meet the challenge once again. Through the use of U.S. 
trade remedies against illegal predatory pricing, the industry has 
recovered market share and increased profits. The industry has invested 
in new technology and has improved the capital infrastructure of 
existing facilities. Management and workers have continued to work 
together to increase competitiveness by improving productivity and 
improving the manufacturing process. The result has been the 
resurrection of the industry.
  Quality, productivity, and world-class technology are the watchwords 
for the U.S. ferroalloy industry as it continues to provide our Nation 
with the tools it needs to grow and defend itself.

                          ____________________