Lawmakers introduce STEEL Act to bolster trade enforcement

Congressmen Mike Kelley (R-Pa.) and Chris Deluzio (D-Pa.) have introduced the Strengthening Trade Enforcement and Evasion Limitations Act (STEEL Act) into the US House of Representatives. The bipartisan bill aims to curb unfairly traded imports and strengthen US trade enforcement.

The legislation would expand Customs and Border Protection’s (CBP) authority to self-initiate investigations into duty evasion. It would also tighten judicial review requirements, closing loopholes that have allowed foreign producers to undercut American steelmakers.

Kelly said the measure “puts American companies first” by rejecting the idea that foreign competitors can operate in the US market without following the same rules.

The bill is designed to “put some muscle back into our trade enforcement laws and help level the playing field for American jobs and industries,” said Deluzio.

The Enforce and Protect Act (EAPA) has been essential in helping to stop bad actors from evading anti-dumping and countervailing duties, according to Roger B. Schagrin, executive director and general counsel of the Committee on Pipe and Tube Imports (CPTI). “Unfortunately, gaps in the current statute have still allowed some importers to exploit loopholes and avoid lawfully imposed duties,” he commented, noting that the STEEL Act would strengthen EAPA laws.

Industry support

Industry groups quickly voiced support for the STEEL Act.

“For too long, bad actors have sought to evade U.S. trade laws through fraud, transshipment and other schemes. These actions have hurt American businesses and workers, including in the American steel industry,” said Kevin Dempsey, president and CEO of the American Iron and Steel Institute (AISI).

He called the bill “an additional tool to crack down on illegal schemes” and urged Congress to act. Among the producer member companies AISI represents are ArcelorMittal, Cleveland-Cliffs, Olympic Steel, SSAB Americas, Worthington Steel, and Zekelman Industries.

Guillermo Moreno, president of Tenaris US and chairman of the US OCTG Manufacturers Association (USOMA), noted OCTG producers have already seen more than $400 million in duties assessed under existing law. Still, he stressed “more must be done to stop bad actors.” USOMA members operate 27 manufacturing facilities across seven US states and account for 80% of US OCTG production.

If enacted, the STEEL Act would modify the Tariff Act of 1930 to allow CBP to launch investigations based on evidence of evasion and require payment of duties before judicial appeals can proceed.

Schagrin, on behalf of CPTI, said the reforms would “deliver meaningful relief to American manufacturers and workers across the country who rely on fair and effective trade laws.” CPTI has member companies in 32 US states.

Laura Miller

Laura Miller is a reporter and editor for Steel Market Update. She has held various editorial positions with steel industry publications, associations, and mills since 2007. She joined the SMU team in 2022. She is a member of the Association of Women in the Metal Industries and a past-president of the AWMI Pittsburgh Chapter. She holds a BA in Latin American Studies from Edinboro University of Pennsylvania.