Steel Mills
Letter to the Editor: Let The Domestic Steel Mills Compete with the Rest of the World
Written by John Packard
March 2, 2017
Steel Market Update received the following “Letter to the Editor” from a reader who in the past has been associated with companies supplying products to the domestic steel mills. With all of the articles being written about the industry from President Trump’s point of view we thought it a good idea to air a different viewpoint. Comments are welcome and can be sent to: info@SteelMarketUpdate.com:
I guess it’s fine for the US mills to complain about the competition in the international market place being “unfair”. As well as it may be or not. But the mills’ suppliers of scrap, iron ore, ferroalloys, refractories, inoculants, and many other products deal with it every day without help save ferroalloys. I can’t believe the nerve of the USA mills to say all foreign competition is unfair. They get relief and we do not. Nucor imports cargoes of scrap from Europe at prices under our market. Did the EU dump on us?
The rest of our industries want to try to streamline their expenses and production practices to compete on the world level but the USA steel mills want the government’s help when they don’t deserve it… Ok, every other country who is operating under the economic Law of Comparative Advantage and can produce steel cheaper than we can is dumping. I just don’t believe it. Of course when the USA mills are caught in a domestic downturn, their offers at bargain prices to get rid of their excess to international steel traders are just fine and above reproach. If you knew what I know, you’d be quite ashamed of the hypocrisy.
Now that Trump is elected the steel industry sees its chance to expand its accusations of dumping to other producers whether its true or not. This is not the American way, as I knew it. Its sheer desperation and affront to the American consumers and the metals industry. And when President Trump becomes aware of the real facts, (if he wants to hear them) he’ll let them compete with the rest of the world.
John Packard
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