TRADE LAWS –
CRITICAL IMPORTANCE
TO SSINA MEMBER COMPANIES
A Presentation to
the Steel Manufacturers Association
May 1, 2013
Washington, DC
Skip Hartquist
Counsel to SSINA
Kelley Drye & Warren LLP
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100th Anniversary of the creation of stainless steel.
Over 50 years of SSINA.
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Corrosion resistance sets stainless apart from other
forms of steel.
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Chromium is a key ingredient, and was used over 5,000
years to strengthen weapons and prevent corrosion.
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TRADE LAWS – CRITICAL TO THE SURVIVAL OF THE
SPECIALTY STEEL INDUSTRY IN THE UNITED STATES
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I have had the honor of representing this industry for
nearly 40 years, and have worked on every trade case
since 1976. Here are some highlights:

1973 – First antidumping cases, against French stainless wire
rods and Swedish stainless steel plates.

1975 - “Escape-clause” case filed with the United Steelworkers
of America seeking relief from a flood of imports threatening the
industry and steelworker jobs. The case was successful,
leading to quotas on flat-rolled and long products, and tool
steels. Relief lasted until 1980.
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1981 - “Surge mechanism” established to restrict
dumping and other unfair import practices.
− 1981 - With the “surge mechanism” proving to be
ineffective, SSINA and the USW petitioned for relief
against massive foreign government subsidies under
Section 301.
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1982

CVD case against Spain on bar and rod.

AD case against Germany on sheet & strip.

AD case against France on sheet & strip.

CVD case against Brazil on bar & rod.

AD case against Germany, CVD case against Brazil, both on
tool steel.

CVD case against the U.K. on stainless flat rolled.

President Reagan initiated an expedited “201” case on
stainless steels and tool steels as well as multilateral and/or
bilateral negotiations.
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1983

SSINA companies won the AD/CVD cases.

President
Reagan
announced
his
findings
and
recommendations in the 201 case – four years of tariffs on flatrolled stainless steel, and four years of quotas on bar, rod and
tool steel.
1984

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The President announced his intent to negotiate voluntary
restraint agreements (VRAs) on steel exports to the U.S.
1984

VRA reached between the U.S. and the E.C.
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1987

SSINA and USW requests an extension of import restraint program.

President extends program to 1989.
1989 - 92

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1993-95

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New AD cases filed on bar, wire rod, and grain-oriented electrical steel. All
were successful.
1998-2002

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VRAs continue in effect
New AD/CVD cases filed on plate, sheet & strip, angles, and bar. Again, all
were successful.
2002-2013

Sunset reviews.
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WHAT HISTORY TEACHES US
1. Constant monitoring is crucial.
2. Strong trade laws, and vigorous enforcement of the
remedies, are vital to the survival of the industry.
3. The U.S. market is so attractive that foreign producers
are willing to violate U.S. trade laws and WTO rules to
sell in our market. If you let your guard down, they will
swallow you up.
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CURRENT AND FUTURE CHALLENGES
1. Import surges. With the US market showing improvement, and
Europe sluggish and China softening, we look enticing to exporters.
2. Overcapacity.
China is the most egregious example, but
overcapacity is a global problem. Witness ThyssenKrupp’s disaster
in Alabama.
3. Subsidies on the rise again.
4. State-owned enterprises. How to define an SOE.
policies should apply to SOEs.
5. Continued attempts to weaken US trade laws.
settlement process issues.
What trade
WTO dispute
OUR WORK IS CUT OUT FOR US
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