[Congressional Record Volume 147, Number 61 (Monday, May 7, 2001)]
[Extensions of Remarks]
[Page E741]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                        AMERICA'S STEEL INDUSTRY

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                         HON. JERRY F. COSTELLO

                              of illinois

                    in the house of representatives

                          Monday, May 7, 2001

  Mr. COSTELLO. Mr. Speaker, I rise today to support America's steel 
industry.
  America's steel industry is in a near crisis state. Beginning in 
1997, dumped and subsidized steel imports grew dramatically until they 
reached almost 40 percent of the U.S. steel market. Steel prices 
rapidly decreased; steel workers were laid off; steel companies filed 
for bankruptcy. As a result of the weakened steel industry, the level 
of imports deemed acceptable by the government increased, and recovery 
has been difficult.
  The steel industry needs help. I believe H.R. 808 is a good first 
step in providing assistance. The Steel Revitalization Act of 2001 
provides import relief by imposing 5-year quotas on the importation of 
steel and iron ore products in the United States. The quotas will 
return the import market share to the levels prior to 1997. This 
provision is very similar of H.R. 975, which passed the House with 
strong support in the previous Congress.
  In addition, the legislation will augment the Steel Loan Guarantee 
Program, which provides guaranteed loans to qualified steel companies. 
Currently, steel companies are finding it almost impossible to raise 
capital through other sources, especially due to plummeting stock 
prices and decreasing demand. The Steel Revitalization Act will expand 
the program by authorizing $10 billion rather than $1 billion, 
guaranteeing 95 percent of the loan rather than 80 percent and 
extending the terms from 5 years to 15. With this expansion, more 
companies will be able to take advantage of this worthwhile program.
  Mr. Speaker, in the congressional district I represent, steel 
companies like Laclede and Granite City Steel are seriously distressed. 
Many of my constituents are at risk of losing their jobs. It is of the 
utmost importance that we in Congress work hard to keep America's steel 
industry vital. I urge my colleagues to join me in supporting H.R. 808 
and our steel industry.

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