The American Iron and Steel Institute (AISI) said that the G7 Ise-Shima Leaders’ Declaration released at the conclusion of the G7 Ise-Shima Summit in Japan is “an indication that the steel industry’s concerns are clearly being heard and acted on by heads of governments around the world.”
Thomas J. Gibson, AISI president and chief executive officer, said, “The number of U.S. jobs lost in the steel industry since January of 2015 has climbed to nearly 15,000 – primarily due to the high levels of unfairly traded imports fueled by the massive build-up in steel capacity in other countries. We are pleased that the leaders of the G7 governments recognize the severe impacts that global steel overcapacity and interventionist policies in the steel sector around the world are having in the U.S. and other countries, and applaud the commitment of these leaders to address these critical issues.”
He said global overcapacity in steel is estimated by the OECD to be about 700 million metric tons. More than half of that overcapacity – 425 million metric tons – is located in China.
“There is a global problem that needs a global solution. Market-distorting government policies have prevented adequate industry adjustment in some markets in response to changes in global demand. The Chinese government in particular needs to accept responsibility and address its role in creating this massive steel glut. We especially appreciate the leadership and commitment of President Obama and his administration to address the surge of steel imports and the market-distorting policies and practices that have enabled it, and we are grateful for the efforts of all the governments involved in the G7 Summit, and in other fora, to make progress on these vitally important issues,” Gibson concluded.
Published in the July 2016 Edition of American Recycler News
