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AFS Helps Found Coalition to Address Scrap Crisis |
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In an effort to begin to bring relief to metalcasters being hit hard by scrap prices, AFS has joined forces with the Steel Manufacturers Association and the National Precast Concrete Association in founding the American Scrap Coalition (ASC). The coalition was created to bring metal industries together to call on the U.S. Congress, the U.S. Trade Representative and the U.S. Commerce Department to remove global barriers to trade.
Steel scrap exports from the U.S. have tripled since 2000, rising from 6.3 million tons to more than 18 million tons in 2007. U.S. scrap exports have surged to a variety of countries, most notably China, India and Korea. Meanwhile, U.S. scrap imports in 2007 decreased 23 percent from 2006, from 4.8 million tons to 3.7 million tons, as numerous countries have instituted trade barriers to restrict steel scrap trade and maintain their scrap for domestic use.
In response, the ASC has been formed, representing 3,200 steel scrap consuming companies. Several priority issues have been identified, including:
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removal of barriers to trade in steel scrap, which hinders U.S. companies and global competition;
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issuance of a report within 30 days that identifies countries that have enacted a series of barriers to scrap trade in order to protect their domestic industries;
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ensuring that scrap exports are not permitted as an easy way around state, federal and international environmental obligations;
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consideration by the U.S. Congress, the U.S. Commerce Department and the Office of the U.S. Trade Representative to remove trade barriers.
"AFS is proud to be a part of the American Scrap Coalition," said Jerry Call, AFS executive vice president. "With steel scrap exports tripling since the beginning of this decade, the federal government must act to negotiate the removal of steel scrap barriers, which are one of the major drivers of rising scrap prices."
Headquartered in Schaumburg, Ill., AFS is a not-for-profit technical and management society that has existed since 1896 to provide and promote knowledge and services that strengthen the metalcasting industry for the ultimate benefit of its customers and society.
The American Scrap Coalition, a Washington, D.C. based nonprofit corporation, is a successor to the Emergency Steel Scrap Coalition, which formed in 2004 to address scrap export and price issues and to advocate for controls on exports of domestic steel scrap. More information on the ASC can be found at www.scrapcoalition.com.
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