The U.S. Steel Industry: A History of Government Intervention and the Initial Impacts of the Section 201 Tariffs from March 2002 to October 2002

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Authors
Harms, Katie L.
Issue Date
2003
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Thesis
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en_US
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Abstract
The U.S. Steel Industry has been challenged with a variety of problems throughout its existence, including import dumping, decreasing domestic prices, producer bankruptcies, unpaid pensions, and increasing unemployment. Historical policies and procedures have failed to define a clear remedy for the industry, which has heavily relied on the U.S. government for protection and expansion opportunities since the late nineteenth century. In 2002, the U.S. steel industry is yet again claiming to be a victim of excessive import dumping, and the government has eagerly responded with the Section 201 tariffs. The safeguard tariffs on imports of certain steel products were issued in March 2002 by President George W. Bush to provide relief to the industry and allow the domestic market to regain global competitiveness. Despite the U.S. government's intentions to provide a remedy for the steel industry, including adjustments to increase average domestic steel prices and increase average import steel prices, the negative effects of the Section 201 tariffs on other U.S. and foreign industries have offset the benefits of the tariffs on the domestic industry. The fundamental section of my SIP, an analysis of the U.S. steel industry and the initial effects of the Section 201 tariffs, strives to provide evidence against the effectiveness of the tariffs, and demonstrates that government intervention is causing international confrontations and struggles within the domestic economy, including losses in production and employment for steel-consuming industries. The steel industry is not recovering because of the tariffs; they are only hindering the expansion of the global steel industry and other U.S. and international markets.
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ii, 64 p.
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