[Congressional Record Volume 144, Number 141 (Friday, October 9, 1998)]
[House]
[Page H10340]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




               SUPPORT THE U.S. STEEL JOBS PROTECTION ACT

  (Mr. ADERHOLT asked and was given permission to address the House for 
1 minute and to revise and extend his remarks and include therein 
extraneous material.)
  Mr. ADERHOLT. Madam Speaker, I am introducing today the U.S. Steel 
Jobs Protection Act, a bill with already 10 bipartisan cosponsors. This 
bill imposes an immediate 1-year ban on hot-rolled steel from Japan, 
Brazil, and Russia.
  Our trade partners, knowing the slowness of the petition process, 
have dumped millions of tons of below-cost steel on the U.S. market. 
Thousands of permanent U.S. jobs will be lost by the time the petition 
process concludes.
  The U.S. steel industry mass modernized and cut production man-hours 
per ton from 10 to three. This strong, by temporary, action must be 
taken if we are to be serious about helping families who work for the 
steel industry.
  We urge support for the bill and strongly urge the President to take 
immediate action to help America's steelworkers.
  Mr. Speaker, today I am introducing ``The U.S. Steel Jobs Protection 
Act,'' a bill with ten bipartisan cosponsors. Currently, U.S. steel 
producers are in a crisis due to outrageously unfair conditions. 
Membership in the World Trade Organization, and signing onto the 
General Agreement on Tariffs and Trade (GATT) implies a willingness to 
abide by fair trading practices in order to avoid what some call trade 
wars.
  Unfortunately, a number of countries experiencing severe financial 
crisis have knowingly allowed their steel companies to export steel to 
the United States at a cost far below their own domestic market price 
or even below the cost of production. While I understand the need for 
income by these countries, I do not condone what at best is a reckless 
disregard for the effect that such exports have on workers in our steel 
industry.
  Since the 1980's, our steel industry has modernized and streamlined. 
In 1982, it cost roughly 10 man hours per ton to produce U.S. steel. In 
1998, the average is below 4 MHPT. The U.S. steel industry has invested 
over $50 billion in steel plant modernization over the past two 
decades. The industry employed 425,000 in 1980, and 160,000 in 1998. 
The U.S. steel industry forecasts that imports of hot-rolled steel in 
1998 will be over 500 percent of that imported in 1995. According to 
industry analysts, some foreign steel is being sold at one-third the 
cost of production, or more. Clearly, the U.S. steel industry has done 
its part.
  No business can long withstand that kind of assault. I wish that a 
gentle call to our foreign trading partners for reasonable action would 
suffice. I am afraid that we are way beyond that point, however. U.S. 
companies and unions filing a petition for relief from unfair trade 
practices know that they must wait until severe financial damage is 
evident for their petition to be acted upon with any urgency. Even 
then, the best they can hope for is a partial resolution in 160 days. 
Such cases usually take 12 to 18 months. The current crisis in the 
steel industry is too great for that kind of wait.
  My bill imposes an immediate, temporary moratorium on the further 
import of certain steel products from three countries--Japan, Russia, 
and Brazil--for 1 year. Upon completion of the case filed September 30, 
1998, duties may be assessed on all steel dumped at a below-cost price 
retroactive to one year prior the filing of the petition. Should this 
bill become law, that 1-year retroactive aspect would also apply to any 
other petitions naming other countries engaged in similar steel-dumping 
practices.
  I realize that there are some concerns about our obligations under 
the GATT agreements and as a member of the WTO. I agree that we should 
keep our word and treat all of our trading partners fairly. I also 
believe that our first obligation as Members of the federal government 
is to protect the citizens of the United States. What we are currently 
experiencing is not a minor misunderstanding, or a cultural difference 
in economic practices. We are the victim of a deliberate action which 
is harming our domestic steel industry.
  Not defending ourselves in this situation is akin to unilateral 
disarmament while being fired upon. My suggestion of a temporary import 
ban is not a strike back; it is a recovery period from a battle in 
which we are wounded. If you believe that membership in the WTO and 
accepting GATT overrides all U.S. federal laws, historical precedents, 
constitutional authority, and the moral duty of the federal government 
to its citizens, I wish you would please come to Gadsden, Alabama and 
explain that to the 150 or so families who have lost their income, or 
will lose it within a few weeks.
  Please explain to the remaining 2000+ steel industry employees that 
they must sacrifice their jobs to outrageously unfair trade practices 
so that we can stabilize the governments and economies of other 
nations. I don't think they will understand. Nor, frankly, will I.
  If our neighbors, our foreign allies need help, let us discuss in a 
reasonable and straightforward manner on this House floor a plan 
specific to each country regarding how we might help them--and by that 
I do not mean throwing away billions of dollars to the IMF board, who 
have no idea where billions of dollars recently sent to Russia have 
ended up.
  I would like to see this bill become law. I would like to see the 
President take a serious look at his authority under various U.S. trade 
laws and take action himself to impose a temporary import ban so that 
the industry might have a period in which to recover. If our trading 
partners do not like these suggestions, the solution is easy. Let them 
admit to the wrongness of their actions, and present to the President a 
serious plan for halting or slowing imports and making reparations 
directly to the U.S. steel industry.
  The United States of America is strong, and generous. Let us help our 
friends abroad, but let us stop sacrificing U.S. jobs in what amounts 
to an unfunded, unauthorized, program of foreign aid.

                          ____________________