Visclosky Opening Statement at the Congressional Steel Caucus Hearing on the State of the Steel Industry

Washington, DC – Below is the opening statement of Congressman Pete Visclosky from today’s Congressional Steel Caucus hearing on the state of the steel industry, as prepared for delivery. 

I want to thank Chairman Murphy for convening today’s hearing on the state of the steel industry.  I also want to extend my sincere appreciation to all of today’s representatives from steel companies and the United Steelworkers for taking time out of your busy schedules to participate. 

Two days ago, I, like many of you, testified at the hearing of the Office of the U.S. Trade Representative, the Department of Commerce, and other trade agencies, on the global steel industry situation.  At that hearing, I said that steel is vital to the success of our economy and the strength of our national security, and that we must urgently and fully enforce our trade laws in order to stop the influx of illegal steel imports. 

I noted that the challenges currently faced by the steel industry are not self-inflicted.  Our domestic steel industry is dedicated to increasing efficiency and decreasing emissions.  According to the American Iron and Steel Institute, today in the United States, it takes an average of 1.9 man-hours to produce a ton of steel, while 30 years ago, it took 10.1 man-hours.  Since 1990, the steel industry has reduced energy intensity by 32 percent and CO2 emissions by 37 percent per ton of steel.  Our steel producers are innovative, efficient, and environmentally responsible, and they must be able to compete in our global economy. 

I also believe that steel has an inherent role in keeping Americans safe.  As the Ranking Member of the House Appropriations Subcommittee on Defense, I am very familiar with the variety of ways that steel supports our national security.  For example, steel is used in our ships, armor plate, submarines, and countless other types of military vehicles and equipment.  22 tons of steel plate are used in every Abrams tank.  50,000 tons of steel plate are used in every aircraft carrier, and half of that steel is made in Northwest Indiana.  The Alliance for American Manufacturing has just released a white paper on how the steel import surge is threatening U.S. national security, and it notes that virtually every military platform is dependent to some degree on steel and specialty metals.  It is imperative that we ensure that American steel companies and steelworkers are able to succeed in our global economy so that they can continue to meet the needs of our military.

The current level of global steel overcapacity is staggering, and we must do more to prevent this unused steel from being dumped on our shores.  I am pleased that Congress passed two critical pieces of legislation in the past year to improve the enforcement of our trade laws.  The Trade Preferences and Extension Act of 2015 improves the ability of the Department of Commerce and the International Trade Commission to consider real world factors when investigating trade violations, and the Trade Facilitation and Trade Enforcement Act of 2015 allows U.S. Customs and Border Protection to investigate allegations of trade law evasion.  You have my assurance that as the 114th Congress proceeds, I will continue to work with my colleagues and the Congressional Steel Caucus to encourage the effective implementation of these new protections and actively conduct oversight of the Administration in order to make sure that American steel companies and steelworkers are able to compete on a level playing field.

I thank you all again for participating in today’s hearing and I look forward to our discussion.

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