[Congressional Record Volume 143, Number 112 (Friday, August 1, 1997)]
[Extensions of Remarks]
[Page E1614]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




INTRODUCTION OF LEGISLATION TO TEMPORARILY SUSPEND THE U.S. IMPORT DUTY 
                             ON FERROBORON

                                 ______
                                 

                      HON. RODNEY P. FRELINGHUYSEN

                             of new jersey

                    in the house of representatives

                        Thursday, July 31, 1997

  Mr. FRELINGHUYSEN. Mr. Speaker, I rise today to offer legislation 
that would temporarily suspend, through the year 2000, the rate of duty 
applicable to imports into the United States of ferroboron. Ferroboron 
is the key raw material in amorphous metal electrical power 
distribution transformer cores. Transformers using these cores reduce 
energy losses and greenhouse gas emissions associated with these losses 
by 60 to 80 percent when compared to the other transformer core 
technologies. This is positive both in terms of increasing energy 
conservation and decreasing environmental degradation in the developing 
nations that present the most promising market opportunities.
  While such benefits are tangible and significant, they and the 
extensive research and development that has yielded them come at a 
cost. An amorphous metal transformer has an initial cost 20 to 30-
percent higher than the energy-wasting and environmentally unfriendly 
transformers it seeks to replace. Fortunately, because of its many 
benefits, the total owning cost of an amorphous metal transformer--over 
its 20 to 30 year life--is far lower than the initially cheaper 
competition. Reducing the cost of the end product's most important and 
costly raw material, by suspending the import duty paid on it, would 
further help ensure the cost-competitiveness of the end product in the 
export markets so vital to the product and the American workers behind 
it.
  Furthermore, because there is no substitute domestic product 
currently benefiting from the present 5 percent duty rate on 
ferroboron, no adverse impact on the domestic ferroalloy industry is 
anticipated. I therefore urge my colleagues to support expeditious 
passage of this bill.

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