| Some of the automotive suppliers from U.S. | | | | have not felt relief from the existed |
| have demanded for exclusions from the high | | | | guidelines of the administration's exclusion |
| tariffs which were mostly agreed by the Bush | | | | process. |
| administration and almost all companies filed | | | | |
| range from Tier ! producers to the small Tier | | | | The process has described mainly speciality |
| 3 Producers. | | | | forms of steel from abroad which could not |
| | | | been created or bought from the U.S. market. |
| Motor& Equipment Manufacturers Association | | | | The U.S. steel producers have reached |
| (also named MEMA), taking into account the | | | | exclusion in the first tour for importing |
| possibilities of serious job losses has | | | | slabs and flat-rolled steel products at low |
| required for an expand of existent guidelines | | | | prices, while steel costumers have gained |
| of the second stage of exclusions and 'to | | | | minimal relief. Moreover, competitors from |
| consider the critical factors of price and | | | | abroad have gained a more powerful control |
| supply steel as part of its decisions''s. | | | | over the U.S. market by buying steel at |
| | | | normal prices and by exporting finished or |
| Despite the fact that MEMA is prone to | | | | partially finished products at lower tariffs. |
| support an existent of domestic steel | | | | |
| industry, its tariffs had a strong negative | | | | MEMA claims is heavily concerned by the fact |
| effect on the automotive suppliers, according | | | | that high steel prices will threaten the |
| to Chris Bates the president of MEMA. This | | | | viability of a powerful American |
| supply constraints and the increases in price | | | | manufacturing center' without a secure supply |
| which are generally a result of the high | | | | of raw materials and a steady cost structure, |
| steel tariffs are now obliging large Tier 1 | | | | U.S. auto parts and components manufacturers |
| Automotive suppliers to start creating or | | | | will not be able to secure future business |
| buying components that they have previously | | | | and to ensure their competitive stance in the |
| created and purchased from foreign sources. | | | | global automotive industry', MEMA claimed. |
| | | | |
| According to what MEMA claims, a tendency of | | | | MEMA will continue as strong supporter of |
| responding to the increase of steel tariffs | | | | the House Resolution, introduced by |
| is to reduce the production and to start | | | | representative Joe Knollenberg on Oct. 9. The |
| thinking about the movement of some | | | | legislation which happens to be bipartisan |
| manufacturing facilities permanently abroad. | | | | has gained support in the 107th Congress and |
| MEMA also claim that the shift of movement | | | | it has been introduced again in the |
| facilities and jobs to other countries where | | | | |
| prices remain the same is growing fast. | | | | House in 3003. This Resolution of |
| | | | Knollenberg's asks the president to ask that |
| The industry of auto parts suppliers haven't | | | | the International Trade Comission should |
| benefited from the first round of the process | | | | reconsider the effect of the tariffs on steel |
| of exclusion, taken care of by the Department | | | | consumption industries in U.S. |
| of Commerce and the U.S. trade | | | | |
| Representatives's office.Taking into account | | | | The present analysis must be included in the |
| the fact that the U.S. manufacturers of | | | | ITC's midterm review of the administrations's |
| automotive parts and components reach a price | | | | steel program, which should be released by |
| of 95 percent of the steel from U.S.A they | | | | September 2003, said MEMA. |