Vehicle industry pleads with the President

摘要

Equipment suppliers to US vehicle production lines pointed out these consequences of Section 201 tariffs in a letter to President Bush in mid-June. Members of the Motor and Equipment Manufacturers' Association (MEMA) and the Original Equipment Suppliers Association (OESA) explained how re-pricing their components to take account of higher steel prices will lose them contracts because carmakers in the USA cannot afford to raise payments to suppliers without pricing themselves out of the market.The MEMA and OESA claim that a rapid shift to foreign sourcing of car component has already taken place in response to the high international value of the dollar (a factor contributing to the rise in steel imports US steelmakers rarely mention). They expect this trend to accelerate.