Jun 19 2012 -
RENACCI TESTIFIES ON BEHALF OF OHIO STEEL MANUFACTURERS
Washington, DC—Today, U.S. Representative Jim Renacci (OH-16) testified before the U.S. International Trade Commission on behalf of the Timken Company and Ohio’s steel industry and in defense of maintaining current prohibitions against foreign countries undercutting American manufacturers. A full transcript of Rep. Renacci’s testimony can be found below:
Good morning Commissioners and thank you for giving me the opportunity to testify before you today. I am here representing the 16th District of Ohio, the domestic tapered roller bearing (TRB) industry, and the Timken Company - the original petitioner in this case. Timken is headquartered in Canton, Ohio, and our local economy relies heavily on the stable, good-paying jobs and tax revenues the company provides.
During my first term in office, I have been committed to job creation and protecting the existing jobs created by our local manufacturing companies, and that is why I am here today. Timken, and other companies across Ohio’s manufacturing sector, will suffer greatly if this TRB antidumping duty order is revoked.
The Timken Company was founded in 1899 and has been headquartered in Canton, Ohio since 1901. Since the companies formation it has been an indispensable economic force in Ohio’s manufacturing sector. Timken employs more than 4,000 people in Stark County alone.
Most of these employees are located at Timken’s global headquarters in Canton; steel and roller plants in Canton Township and Perry Township; and Timken’s technology center in Jackson Township.
As Timken’s products are used in the automotive, construction, industrial, aerospace and defense industries, any negative impact on the TRB industry will also affect these other sectors of my state’s economy and the nation as a whole.
According to the Commission’s public prehearing staff report, significant underselling continues on imported TRBs from China despite the current order. Even with the protection provided by the order, the domestic industry has already had to shut plants: in 2009 Timken closed the Canton Bearing facility, and in 2010, Timken closed two TRB plants elsewhere in Ohio. I am extremely concerned that the revocation of this order will place American manufacturers at a further disadvantage and will ultimately result in the elimination of the domestic TRB industry.
Currently, the antidumping order has been successful in restraining the growth of China’s TRB exports to the U.S. The order requires the posting of cash deposits on imports and these deposit rates can often range up to nearly 100 percent.
Absent the order, and considering slowing demand in China’s home market and important export markets like Europe, China will have the ability to flood the U.S. market with its underpriced TRBs - causing irreparable harm to the domestic TRB industry and our local economy.
In conclusion, I strongly believe that a continuation of the antidumping order on TRBs from China is critical to protect our domestic producers from China’s predatory trading practices. Our local manufacturers depend on fair trade conditions being maintained in the market and I sincerely hope that upon reviewing the record the Commission will conclude that an affirmative determination is warranted in this case.
Thank you for your time and consideration.
Rep. Renacci is serving his first term in the U.S. House of Representatives, where he is a member of the Financial Services Committee. Prior to his election he worked as a Certified Public Accountant in the health care industry, and owned and operated over 60 other businesses in the automotive and sports management fields.
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