(Washington, D.C.)  Citing the high cost to American consumers and taxpayers, the Council for Citizens Against Government Waste (CCAGW) today urged President Bush to immediately terminate the Section 201 steel tariffs, and called for the Bush administration and Congress to take a closer look at subsidies and trade restraints granted to large, integrated U.S. steel companies.  Following is the statement from CCAGW President Tom Schatz:

“On behalf of the more than one million members and supporters of CCAGW, I urge President Bush to repeal the tariffs on imported steel.  A recently released report by the International Trade Commission (ITC) revealed that the cost of the tariffs to the private sector has been almost $2 billion.  The only benefit to the U.S. economy cited by the ITC was the approximately $650 million collected in tariff ‘revenues’ (i.e., taxes) from U.S. consumers.  CCAGW hopes the Bush administration does not count a $650 million tax increase as a benefit to the economy.

“Tariffs and other corporate welfare policies put in place by both Republicans and Democrats as a result of a 30-year lobbying campaign by the U.S. steel industry have stimulated the greed of corporations unwilling to compete in the marketplace, costing U.S. consumers and taxpayers more than $100 billion during that time.

“The steel industry lobbying campaign seeks to shut out foreign competition while receiving taxpayer subsidies.  The effect of these market-binding mechanisms causes economic reverberations throughout the country, as evidenced by the economic damage caused by the steel tariffs.

“If the steel tariffs are not repealed, U.S. international credibility will continue to be undermined and retaliation by U.S. trading partners is certain.  It’s time for the U.S. steel industry to operate in the same way as its customers: compete in the global marketplace without special favors and protection.

“CCAGW encourages President Bush to end the Section 201 tariffs and other protectionist steel policies that are damaging to the economic interests of average citizens.”

The Council for Citizens Against Government Waste is the lobbying arm of Citizens Against Government Waste, the nation’s largest nonpartisan, nonprofit organization dedicated to eliminating waste, fraud, mismanagement and abuse in government.