Steel Institute Welcomes Government Engagement on China Overcapacity


 

For Immediate Release
November 24, 2015

WASHINGTON, D.C. – Thomas J. Gibson, president and CEO of the American Iron and Steel Institute (AISI), today said the annual bilateral trade meeting between the U.S. and China has yielded an important step forward on addressing the issue of China’s steel overcapacity. Secretary of Commerce Penny Pritzker and U.S. Trade Representative Michael Froman recently concluded high-level meetings in China, as part of the Joint Commission on Commerce and Trade (JCCT), wherein the two governments agreed to hold further discussions in 2016 regarding capacity, production and trade in the steel sector. The U.S. official U.S. government fact sheet on the meeting recognized that “China’s exports of steel and aluminum are large and growing, and are the central cause of a glut of supply on the global market.”

Gibson said, “Overcapacity in China’s steel industry is a major factor fueling the import surge currently injuring the U.S. industry. AISI welcomes the work of U.S. Commerce Secretary Penny Pritzker and U.S. Trade Representative Michael Froman to engage with their Chinese counterparts at the JCCT on this important subject, and we look forward to the ongoing work of the U.S. and Chinese governments on this topic through the JCCT’s U.S.-China Steel Dialogue.

The 2016 U.S.-China meetings will include “updates on progress made with regard to China’s July 2014 commitment to establish mechanisms that strictly prevent the expansion of crude steelmaking capacity and that are designed to achieve major progress in addressing excess production capacity in the steel sector within five years,” according to the fact sheet released today which can be found here.

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Contact: Lisa Harrison
202.452.7115 / lharrison@steel.org

Click here for a PDF version of this release.

AISI serves as the voice of the North American steel industry in the public policy arena and advances the case for steel in the marketplace as the preferred material of choice. AISI also plays a lead role in the development and application of new steels and steelmaking technology. AISI is comprised of 19 member companies, including integrated and electric furnace steelmakers, and approximately 125 associate members who are suppliers to or customers of the steel industry. For more news about steel and its applications, view AISI's website at www.steel.org. Follow AISI on Facebook or Twitter (@AISISteel).