Bethlehem Steel Corporation
For Immediate Release

September 30, 1999 -- Leaders from several major U.S. integrated steel companies testified today before a joint briefing of the Congressional and Senate Steel Caucuses on the devastating effects of the ongoing steel import crisis, and the necessity of vigorous enforcement of the trade laws to respond to this crisis. Industry leaders also urged the Administration to oppose any efforts to open the trade laws for renegotiation at the forthcoming WTO conference, and to support much needed trade law reform by our Congress. They praised the Congressional and Senate Steel Caucuses for their tireless support for the industry during this difficult period.

The steel import crisis is continuing to severely injure the U.S. industry. Paul Wilhelm, President of U.S. Steel and Chairman of the American Iron and Steel Institute, illustrated the degree of injury by providing an example of losses with respect cold-rolled imports alone. He said "[t]he average price of cold-rolled ... is down by about $50/ton compared to 19 97. This is a difference of well over $600 million in lost revenue. And let me tell you, $600 million has a real impact on our steelworkers and steel communities." Panel members also emphasized that the import crisis is continuing because, said James Haeck, Executive Vice President of the LTV Corporation, "many of the forces behind the steel crisis remain: foreign steel industries are more subsidized, more protected, and more cartelized than any other industrial sector." These practices are continuing to fuel the massive global overcapacity of steel which has found its way into the U.S. market -- the only remaining open and viable market.

Curtis H. Barnette, Chairman and CEO of the Bethlehem Steel, urged the Administration "to vigorously and immediately implement its announced policy under the President's steel program of 'zero tolerance' with respect to unfair trade in steel. Full and unyielding enforcement of U.S. trade laws against all unfair trade is required in order to achieve this objective." The witnesses also urged the Administration to stop "undercutting those laws by entering into suspension agreements over the objection of the domestic industry," and noted that "unless we inject a sense of urgency into enforcing our trade laws ... [this crisis] will continue."

Industry leaders urged Congress and the Administration to ensure that antidumping and countervailing duty laws will not be a subject of negotiation during the WTO Seattle Ministerial meeting. Any renegotiation of the trade laws in the WTO would only serve to further weaken these important laws. The witnesses expressed, and urged, strong support for a House Resolution introduced by Congressmen Visclosky and Ney instructing U.S. negotiators not to reopen the trade laws for renegotiation in the WTO Seattle Ministerial.

In order to better cope with any future crises, panel members urged this Congress and the Administration to support H.R. 1505. Mr. Barnette stated that the passage of H.R. 1505, introduced by Reps. English and Cardin, is essential because it "updates the antidumping and countervailing duty laws in light of the new global economic conditions to which those laws must now respond," and concluded by stating that "this Congress and this Administration must commit to allow [American industries] to compete on a level playing field."