[Congressional Record Volume 145, Number 63 (Tuesday, May 4, 1999)]
[Extensions of Remarks]
[Page E835]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

[[Page E835]]



                            THE STEEL CRISIS

                                 ______
                                 

                        HON. PETER J. VISCLOSKY

                               of indiana

                    in the house of representatives

                          Tuesday, May 4, 1999

  Mr. VISCLOSKY. Mr. Speaker, here we are, six weeks after we passed 
the Bipartisan Steel Recovery Act by an overwhelming margin, seven 
months after we called on the President to take all necessary action to 
end illegal steel imports, and nearly two years after the flood of 
illegal steel imports began to hit our markets, and still the crisis 
continues.
  Last week, the U.S. Department of Commerce announced that steel 
imports rose from February to March of this year by 25 percent. During 
the same period imports from Japan rose 36 percent, imports from Brazil 
rose 54 percent, imports from Korea rose by 11 percent, and imports 
from Indonesia rose 339 percent.
  The problem becomes even more evident when you compare March's 
figures to those of July 1997 before the crisis began. Using that time 
frame, imports from Japan are up 22 percent, imports from Brazil are up 
25 percent, imports from Korea are up 77 percent, and imports from 
Indonesia are up a remarkable 889 percent. Mr. Speaker, this is 
unacceptable.
  Last Thursday, the Department of Commerce announced its final 
determination that Japan has been dumping steel on American markets. By 
the Administration's own words, foreign nations are breaking trade 
laws. Yet, despite the rhetoric, the Administration continues to stand 
by and do nothing but claim that the situation is improving, even when 
the numbers show otherwise.
  President Clinton declared in his State of the Union Address in 
January that ``We must enforce our trade laws when imports unlawfully 
flood our nation.'' He threatened Japan by stating, ``if the nation's 
sudden surge of steel imports into our country is not reversed, America 
will respond.'' However, it was Japan that responded with imports in 
January that were up 75 percent from pre-crisis levels. After a brief 
dip in February, during which the Administration was fooled into 
believing that its empty rhetoric and useless posturing was actually 
working to stem the tide, Japan resumed dumping by increasing its March 
imports 36 percent over February's numbers and 22 percent over pre-
crisis levels.
  Mistakenly convinced of the correctness of their own ineffectual 
policies, President Clinton's advisers continue to delude him that 
their approach will bear fruit. The Administration has focused on 
warnings of action that no nation believes will ever come. As evidence, 
just yesterday, the President said during a press conference, ``We will 
take action if steel imports do not return to their pre-crisis levels 
on a consistent basis. Playing by the rules of trade is the best way to 
sustain a consensus for open trade.'' After the Administration failed 
to act on its first admonition to the Japanese, and on every warning 
since, the credibility of the threat has disappeared. Given the clear 
fact that the President can no longer be counted on to do anything more 
than just talk about enforcing our trade laws, instead of taking direct 
action, Congress must fill the void.
  The need for action may now be greater than ever. Foreign countries 
can now rely on the Clinton Administration's unwillingness to deter 
their attempts to flaunt our trade laws, dump steel on American markets 
and drive American steelworkers out of work. The Senate must repudiate 
the Administration's message and finish the job we in the House began 
by passing the Bipartisan Steel Recovery Act. We have seen what the 
White House will, and will not, do if given the chance. Congress must 
now do what the Clinton Administration has proven incapable of and end 
the surge of illegal steel imports onto our shores that is driving 
hardworking American families out of work and away from their dreams.

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