The dramatic increase in imports and import penetration of stainless steel bar and rod in the first quarter of 2005 raises red flags for U.S. producers, according to the Specialty Steel Industry of North America (SSINA).

YTD imports of stainless steel bar through March 2005 — 29,898 tons — are 82% above the same period last year, with import penetration increasing 14 percentage points to 49%. Imports of stainless steel rod increased 42% to 12,421 tons, capturing 61% of the U.S. market. U.S. stainless steel bar and rod producers made it clear that the imports — particularly from Italy, Taiwan, India, Germany, China and Sweden — are on the industry's radar screen and being monitored closely.

Stainless steel wire imports also increased year-on-year, capturing 56% of the U.S. market. Imports from U.K., Germany, Spain, Sweden, Switzerland, China and Korea increased substantially.

SSINA is a Washington, DC-based trade association representing virtually all continental specialty metals producers. Member companies that produce stainless steel bar, rod and wire are Carpenter Technology Corp., Reading Pa.; Charter Specialty Steel, Fond du Lac, Wis.; North American Stainless, Ghent, Ky.; Outokumpu Stainless, Inc., Schaumburg, Ill.; Timken Latrobe Steel, Latrobe, Pa.; Universal Stainless and Alloy Products, Bridgeville, Pa.; and Valbruna Slater Stainless Inc., Fort Wayne, Ind. David A. Hartquist, an international trade attorney with the Washington, DC law firm Collier Shannon Scott, PLLC, serves as lead counsel to SSINA