Rep. Cardin Condemns WTO Decision

WASHINGTON – Rep. Benjamin L. Cardin today strongly condemned a preliminary ruling by the World Trade Organization stating that Section 201 tariffs imposed a year ago by President Bush are a violation of global trade rules.

The Congressman, a member of the House of Representative's Steel Caucus and the Ways & Means Committee which oversees trade issues, said he would support the Administration's decision to appeal the preliminary ruling.

"I strongly supported -- and continue to support -- the President's imposition of Section 201 remedies to counter the illegal dumping of steel that has seriously injured the U.S. steel industry. We have clear evidence of unfair trading by foreign steel manufacturers and the harm it has done to our domestic industry," said Rep. Cardin.

The Congressman pointed to a 2001 International Trade Commission (ITC) ruling that outlined the damage that had been done to the U.S. steel industry in recent years by a flood of foreign imports. Over the past three years, more than 24 U.S. steel companies have filed for Chapter 11 bankruptcy, including Bethlehem Steel Corp. The Congressman represents many of the employees who work at Bethlehem Steel's Sparrows Point facility.

"Under trade agreements, our nation has the right to impose ‘temporary safeguard tariffs' that can be used for up to three years to preserve a domestic industry. That is what we have done with the Section 201 remedy. It is a important tool to ensure fair trade practices for steel," said the Congressman.

The Bush Administration has said it will appeal the ruling. Final action is not expected until September.