SMA Comments on ITC Hearing on Rebar Trade Case
09/17/2014 - The Steel Manufacturers Association (SMA) commented on the U.S. International Trade Commission (ITC) hearing on 15 September 2014, the final phase of antidumping and countervailing duty investigations on steel concrete reinforcing bar from Turkey and Mexico.
“This is a significant decision for a number of domestic rebar producers, who provide thousands of high-paying jobs at production facilities across the nation,” said SMA President Philip K. Bell.
“Mexico and Turkey are important allies and trading partners. But trade laws exist for a reason. Unfair trade harms domestic steel producers, as well as the communities in which they operate,” Bell said.
“We are extremely disappointed in the earlier decision with regard to Turkey, a nation that has no comparative advantage in steelmaking. Turkish producers purchase U.S. scrap, manufacture steel products, ship them back to the U.S. paying freight both ways, and then somehow undercut domestic prices. I don’t see how the numbers add up,” Bell said.
“U.S. mini-mills can compete with producers anywhere in the world. The U.S. market, however, cannot be the outlet for the world’s overcapacity problem. We have recently seen modest increases in demand for rebar, but U.S. steel producers have not been the primary beneficiaries. Domestic rebar production has not yet returned to pre-recession levels, with utilization rates hovering around 60%. There is significant unused capacity,” Bell said.
SMA is the primary trade association for North American electric arc furnace steel producers, often referred to as mini-mills. SMA’s 33 member companies account for over 75% of total domestic steel production.
“Mexico and Turkey are important allies and trading partners. But trade laws exist for a reason. Unfair trade harms domestic steel producers, as well as the communities in which they operate,” Bell said.
“We are extremely disappointed in the earlier decision with regard to Turkey, a nation that has no comparative advantage in steelmaking. Turkish producers purchase U.S. scrap, manufacture steel products, ship them back to the U.S. paying freight both ways, and then somehow undercut domestic prices. I don’t see how the numbers add up,” Bell said.
“U.S. mini-mills can compete with producers anywhere in the world. The U.S. market, however, cannot be the outlet for the world’s overcapacity problem. We have recently seen modest increases in demand for rebar, but U.S. steel producers have not been the primary beneficiaries. Domestic rebar production has not yet returned to pre-recession levels, with utilization rates hovering around 60%. There is significant unused capacity,” Bell said.
SMA is the primary trade association for North American electric arc furnace steel producers, often referred to as mini-mills. SMA’s 33 member companies account for over 75% of total domestic steel production.
