[Congressional Record Volume 143, Number 160 (Thursday, November 13, 1997)]
[Senate]
[Page S12604]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. D'AMATO:
  S. 1558. A bill to amend the Harmonized Tariff Schedule of the United 
States with respect to shadow mask steel; to the Committee on Finance.


 THE SHADOW MASK STEEL HARMONIZED TARIFF SCHEDULE AMENDMENT ACT OF 1997

  Mr. D'AMATO. Mr. President, I rise today to introduce legislation to 
amend the Harmonized Tariff Schedule of the United States with respect 
to shadow mask steel. Shadow mask steel, a vital component of color 
television picture tubes and computer video monitors, is used to 
produce ``shadow masks'' which prevent image distortion on the viewing 
screens of televisions and computer video monitors. Unfortunately, 
neither shadow mask steel, nor any viable substitute, is produced 
within the United States. Therefore, United States shadow mask 
producers must import this product from steel producers in Japan and 
Germany.
  Domestic shadow mask production faces a difficult challenge to stay 
competitive in today's shadow mask market. Competition from foreign 
shadow masks is increasing as foreign manufacturers aggressively pursue 
the U.S. market. In addition, color picture tube and computer video 
monitor manufacturers are increasing their efforts to reduce production 
costs due to increased competition in the television and computer 
markets.
  These factors reinforce the vital need for competitively-priced 
component materials, such as shadow masks. Eliminating the duty on 
shadow mask steel, a product that is already subject to a gradual 
tariff elimination schedule, would be an important step toward enabling 
domestic manufacturers to remain competitive in the global market.
  Major U.S. television picture tube and computer video monitor 
manufacturers that employ thousands of workers throughout the United 
States rely on a consistent supply of domestically-produced shadow 
masks. If such companies were unable to count on such a supply, we run 
the risk of supplanting domestic production of this product with 
imported shadow masks from foreign competitors, resulting in higher 
costs and delivery uncertainties associated with purchasing shadow mask 
imports.
  Such increased costs and uncertainty would certainly result in 
reduced competitiveness of U.S. television picture tube and computer 
video monitor manufacturers vis--vis foreign manufacturers. Reduced 
competitiveness could lead to the transfer of existing U.S. 
manufacturing operations abroad, and/or the closing of U.S. facilities, 
resulting in the loss of thousands of actual and potential U.S. jobs in 
the television and computer manufacturing industries.
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