[Congressional Record Volume 142, Number 136 (Friday, September 27, 1996)]
[Extensions of Remarks]
[Page E1732]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




 INTRODUCTION OF LEGISLATION TO SUSPEND DUTIES ON CERTAIN IMPORTED RAW 
                               MATERIALS

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                           HON. JIM McDERMOTT

                             of washington

                    in the house of representatives

                      Thursday, September 26, 1996

  Mr. McDERMOTT. Mr. Speaker, today I am introducing legislation which 
supports important regional and national interests.
  My home, the 7th Congressional District of Washington, is also the 
home of K2 Corp. the last remaining major U.S. manufacturer of skis and 
one of three major makers of snowboards in the United States. K2 
conducts all significant manufacturing operations for skis and 
snowboards at its Vashon Island, WA facility. In fact, all K2 
snowboards and virtually all K2 and Olin-brand skis sold throughout the 
world are individually crafted by technicians on Vashon Island. 
Moreover, K2 sources almost all of the components for its skis and 
snowboards in the U.S. stimulating the U.S. economy through its 
purchases of raw materials from U.S. suppliers, especially in the 
Pacific Northwest region of the country. However, for two key ski and 
snowboard components, i.e., spring steel edges and polyethylene base 
materials, K2 has been unable to find a supplier of these products in 
the United States that can meet its needs. Therefore, K2 has been 
forced to import these products, which are subject to U.S. customs 
duties upon importation. This legislation provides for a temporary 
suspension of customs duty on the two raw materials which are vital to 
the U.S. production of skis and snowboards and which are unavailable 
from domestic producers.
  K2 is working hard to remain visible in the highly competitive 
international market for skis and snowboards. In fact, K2 has endured 
as a U.S. ski manufacturer in the face of fierce price competition, 
while several other major ski companies not longer manufacture skis in 
the United States. This temporary duty suspension legislation would 
support jobs in the region, as well as K2's ability to continue 
developing innovative, fine quality products. Equally important, a 
temporary duty suspension would help K2 preserve and increase its 
competitiveness in the global marketplace.
  K2 is the only major export of skis made in the United States. In 
addition, K2 is one of three principal exporters of U.S.-made 
snowboards. Thus, K2's exports of U.S.-manufactured skis and snowboards 
represent a substantial percentage of U.S. skis and snowboards sold 
worldwide. If K2 is unable to remain competitive in global and domestic 
markets, skis manufactured in the United States may disappear from the 
global marketplace. The temporary duty suspension proposed by this 
legislation would help prevent the shutdown of the only remaining U.S. 
producer of skis.

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