Nucor Encourages Strong Trade Enforcement

“First, we have to file and win a trade case. This is no easy task as cases are complex, burdensome, and notoriously slow. By the time a final determination is reached, the damage to a U.S. industry and its workers can be irreversible.”

“Our government agencies do not always respond adequately” to dumping and subsidized products said Blume, citing a Commerce Department finding that the Turkish government was giving producers energy subsidies but concluding that the subsidies had “no value.” A conclusion that Blume said “makes no sense, given the energy-intensive nature of steelmaking.”

Blume said Nucor strongly supports the Senate Customs reauthorization bill, S. 662. The legislation would require Customs to investigate industry allegations of evasion, establish reasonable timelines for action, and issue regular public reports disclosing results.

Nucor agrees with Customs that some changes in the duty collection system are warranted. “However,” said Blume, “we do not believe replacing the current ‘retrospective’ system with a so-called ‘prospective’ system would improve enforcement. The current retrospective system is the only accurate way to measure the actual amount of unfair trade and determine the appropriate relief. In contrast, a prospective system would allow abuse on a massive scale and weaken trade enforcement.”

Blume noted that Nucor is investing in the American economy through existing U.S. facilities and new ones like the direct reduced iron facility in St. James Parish, Louisiana.

“Nucor is doing its part to expand the economy and create jobs. We are relying on our government to back us up with strong trade enforcement.

Mr. Blume’s entire testimony may be accessed here.