[Congressional Record Volume 149, Number 37 (Friday, March 7, 2003)]
[Extensions of Remarks]
[Page E404]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                        THE U.S. STEEL INDUSTRY

                                 ______
                                 

                         HON. JERRY F. COSTELLO

                              of illinois

                    in the house of representatives

                        Thursday, March 6, 2003

  Mr. COSTELLO. Mr. Speaker, I rise today to recognize the one-year 
Anniversary of President Bush's decision to impose temporary tariff 
relief on behalf of the domestic steel industry.
  Since 1998, our domestic steel industry has been in crisis, with the 
worst year coming in 2001. The fundamental cause of this crisis was 
massive foreign overcapacity, which had caused the United States to 
become the dumping ground for world excess steel products. As a result 
of this, 35 steel companies have filed for bankruptcy, and over 50,000 
American steel workers have lost their jobs.
  In my home state of Illinois, the crisis has resulted in four steel 
companies filing for bankruptcy, including Laclede Steel and the parent 
company for Granite City Steel, which are in the Congressional District 
I represent. Approximately 5,000 steel workers have lost their jobs in 
Illinois alone.
  In 2000, I joined my colleagues on the Congressional Steel Caucus in 
urging the President to implement a Section 201 investigation by the 
International Trade Commission to determine if our domestic markets had 
been harmed by illegal dumping. I also testified before the ITC to 
express my concerns regarding the steel crisis. The ITC ruled 
unanimously that the steel industry had indeed been harmed.
  While the ITC's decision was welcome, it didn't guarantee relief for 
the domestic steel industry. That decision was left to the President to 
determine what type of remedy should be afforded to the industry. I was 
pleased that the President decided to impose the tariffs, rather than 
quotas, which would not have been as helpful to the industry.
  Mr. Speaker, we have seen the positive results of the President's 
decision to impose tariffs. The steel industry is beginning to show 
signs of recovery. Prices are stabilizing and steel companies are 
returning to profitability. The industry is restructuring and 
consolidating. All of this has happened without hampering the 
availability of competitively priced steel products. In fact, steel 
imports were higher in 2002 than they were in 2001.
  However, for the industry to continue its recovery, it is imperative 
that as the Section 201 tariff measures are reviewed, they remain fully 
enforced for at least three years as ordered by the President, and that 
exemptions to the tariffs are limited.
  I urge my colleagues to join me in supporting our domestic steel 
industry by supporting the existing tariffs on foreign steel. This 
support will allow for the continued recovery of this nation's domestic 
steel industry.

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