WHEATLAND TUBE Workers on notice for more layoffs

The plant will cut 20 jobs, and 145 more may be laid off indefinitely in February.
WHEATLAND , Pa. -- The flood of imported pipe into the United States will prompt Wheatland Tube Co. to lay off 20 employees at its plant here Monday.
William Kerins, vice president of operations, said Thursday that if the market doesn't improve, it's likely that about 145 employees will be laid off at the company's plant in Sharon come February. They would join the 62 at the plant that are already on layoff, he said.
Kerins said the layoffs would be indefinite.
He said federal law requires the company to give Sharon workers a "warn notice" of the possible layoffs because they would be for an extended period of time and because they would affect a significant percentage of the Sharon plant's 450 workers.
Competition
Kerins said that the American market for standard pipe, Wheatland Tube's product, is being inundated with low-price, foreign-made product.
He said that in August of this year foreign pipe accounted for about 75 percent of the product sold in the United States. He noted that one industry source says imports for the first three quarters of this year are up about 37 percent from 2003.
He said the foreign-made product is less expensive because of a combination of factors, including the low wages paid in some foreign lands, the various subsidies some foreign governments give their industries and the difference in currency valuations.
Kerins noted that the difference in the value of the U.S. dollar and the Chinese Yen gives Chinese pipe a 30 percent to 40 percent price advantage.
Wheatland Tube makes pipe for low-pressure gas and water lines, electrical conduit, fencing and various nonresidential construction uses.
The company employs about 450 people at its Sharon plant and about 550 at its Wheatland plant.