WCI STEEL Foes of trade policies rally

Steel supporters want President Bush to maintain tariffs on imported steel.
By DON SHILLING
VINDICATOR BUSINESS EDITOR
WARREN -- A profitable line at WCI Steel has lost half its customers in the past five years as the country's manufacturing base erodes, a top company official said.
At a rally in front of the mill Friday, Pat Tatom, executive vice president, used the silicon electrical line as an example of why the nation's trade policies need to be changed.
"It's a crime what's happened to our manufacturing jobs," Tatom said.
The silicon line provides steel to makers of motors, transformers and generators, but many of those companies have moved their plants to other countries, first to Mexico and then to China, Tatom said.
Cut business in half
They have switched suppliers, so the WCI line is producing only 5,000 tons of steel a month, half of what it used to, he said. The line is one of the more profitable for the mill, so the reduction hurts, he said.
The rally, which was attended by a few hundred WCI workers and supporters, was one of 19 held across the country to try to pressure President Bush to keep steel tariffs he imposed in March 2002.
The tariffs on certain types of imported steel were to last three years, but Bush is considering ending them early or reducing them. The World Trade Organization has ruled that the tariffs violate international trade rules.
Users of steel have complained to the administration that the tariffs are hurting them because they increase costs.
Those at the rally said, however, that the U.S. steel industry needs the full three years to reorganize because it has been unfairly damaged by foreign steel exported to this country at below market prices.
That message, which has been proclaimed at Stand Up For Steel rallies in recent years, is not enough anymore, said Michael Rubicz, president of United Steelworkers Local 1375 at WCI.
"We used to say, 'Stand up for Steel.' Now we have to say, 'Stand up for manufacturing because we are losing our customers," he said.
Steel supporters have to put the pressure on companies that aren't using domestic steel, he said.
"Any company that is not sticking with America and Buy America, shame on them," he said.
Tatom said people should pressure politicians to enforce trade policies and not allow countries that violate them to do business here. He added that the country needs to have tax and environmental policies that encourage companies to keep plants in this country.
Bankruptcy protection
WCI is one of 40 steel companies that have filed for bankruptcy protection, contending they have been damaged by the foreign steel imports. Some major producers have gone out of business, while others have been acquired.
Tatom said WCI officials think the mill, which has 1,800 employees, will survive because of the niche products it provides, but he isn't sure whether it will remain independent or become part of a larger company. WCI officials said when they filed for bankruptcy protection that they intend to emerge as an independent company.
shilling@vindy.com