AISI Endorses Key Trade and Competitiveness Conclusions of U.S.-China Commission Report

For Immediate Release



Lack of WTO Compliance and Harmful, Market-Distorting  Trade Policies Are Major Concerns for Steel

Washington, D.C., November 19, 2009 – The American Iron and Steel Institute (AISI) soundly endorsed key trade and competitiveness-related conclusions contained in the 2009 Annual Report to Congress issued today by the U.S.-China Economic and Security Review Commission.

“This report further underscores the severity of harm being caused by China’s protectionist practices, which are undercutting U.S. manufacturing while repeatedly sidestepping its WTO obligations,” AISI President and CEO, Thomas J. Gibson, said. “AISI has been urging action on these issues for many years, now.   China’s unfair and injurious trade policies must be challenged before they further hollow out America’s manufacturing base, particularly at a time when the nation’s unemployment rate is at a 26-year-high record and 200,000 more manufacturing jobs are being lost every month.”

Of particular note, the report addresses: China’s detailed industrial policy designed to attract foreign investment and production and to create “national champions” to compete on a global scale and China’s use of subsidies and other trade-distorting measures that are in violation of China’s international commitments. The report specifically states that ‘China continues to use trade-distorting measures in violation of its WTO commitments.’

In view of these and other important conclusions contained within this latest report, which are threatening significant long-term injury to the United States steel industry and the U.S. manufacturing base at large, Gibson urged the Administration “to review carefully the findings and recommendations of the 2009 U.S-China Commission Report and to take action in the national interest where warranted.”

“Chinese subsidies, currency manipulation, overcapacity and non-market behavior are undermining the U.S. manufacturing base,” said Gibson. “Thus, there is an urgent need for the U.S. government to: (1) take WTO action to deal with Chinese policies that are prohibited by the WTO, (2) immediately take effective steps to counter China’s manipulation of its currency, (3) pursue bilateral and other consultations to demand true rectification of the market-distorting practices by China, and (4) ensure strong and effective enforcement of U.S. trade laws, particularly our AD/CVD laws.”

“It is time for our government to step up to the plate and require China to abide by WTO and American trade laws.   Tighter enforcement of our trade laws is not protectionism, rather it is a strategy to seek leverage against anti-competitive practices that are threatening American jobs and the American economy,” Gibson said.

AISI serves as the voice of the North American steel industry in the public policy arena and advances the case for steel in the marketplace as the material of choice.  AISI plays a lead role in the development and application of new steels and steelmaking technology.  AISI is comprised of 24 member companies, including integrated and electric furnace steelmakers, and 138 associate and affiliate members who are suppliers to or customers of the steel industry.  AISI's member companies represent over 75 percent of both U.S. and North American steel capacity.  For more news about steel and its applications, view AISI’s Web site at

Nancy Gravatt
Vice President, Communications
American Iron and Steel Institute
Tel: 202.452.7115