Warner and Kaine Write to International Trade Commission in Support of Goodyear Workers in Danville
WASHINGTON, D.C. – Yesterday, U.S. Senators Mark R. Warner and Tim Kaine (both D-VA) sent a letter to the U.S. International Trade Commission (ITC) in support of workers at Goodyear’s manufacturing plant in Danville. Last year, the United Steelworkers, which represents more than 1,800 Virginians employed at Goodyear, filed an antidumping and countervailing duties (AD/CVD) petition with the ITC alleging illegal dumping of truck and bus tire imports from Thailand.
Dumping—when a country exports a product at a price substantially below the cost of producing the product or below the sale price in the exporter’s home market—is considered a form of predatory pricing and an unfair trade practice. In some cases, dumping is used as a tactic to drive domestic businesses out of the market and eventually raise prices for consumers.
“On behalf of more than 2,000 Virginian workers, we ask that you ensure that U.S. trade laws are fairly enforced and that American workers are protected from unfair trade practices. The Goodyear plant in Danville, Virginia, employs more than 2,000 workers, including more than 1,800 who are members of United Steelworkers (USW) Local 831,” wrote the senators. “We each have a long history with this plant stemming from our terms as Governor of Virginia.”
“The Goodyear plant in Danville is a well-equipped facility with talented and dedicated workers. It can compete with tires from anywhere in the world as long as the playing field is level,” the senators continued. “There are reports that the same Chinese manufacturers responsible for previous dumping are investing in facilities in Thailand and similarly selling into U.S. markets at below-market prices. If foreign producers are able to circumvent U.S. trade remedies, it undermines the effectiveness of and faith in our rules-based trading system.”
Warner and Kaine have taken a number of steps to support steelworkers’ complaints that they are competing against unfairly dumped tires from China and other countries. In 2017, Warner and Kaine testified to the ITC in support of workers at Goodyear in Danville. Warner and Kaine have also supported AD/CVD cases on passenger vehicle and light truck (PVLT) tires from China and Southeast Asia, which affected the Yokohama plant in Salem.
Full text of the letter is available here and below:
Dear Chair Karpel and Commissioners of the U.S. International Trade Commission,
We write today in regards to the United States International Trade Commission’s (ITC) investigation of imports of truck and bus tires from Thailand. On behalf of more than 2,000 Virginian workers, we ask that you ensure that U.S. trade laws are fairly enforced and that American workers are protected from unfair trade practices.
The Goodyear plant in Danville, Virginia, employs more than 2,000 workers, including more than 1,800 who are members of United Steelworkers (USW) Local 831. The plant rolled its first tire off the line in 1966, the same year USW Local 831 was formed, and has since produced more than 100 million truck and aviation tires. Tires manufactured at the plant serve both commercial and military needs, and the plant is the largest manufacturer of medium radial truck and aero tires in the world.
Danville is a city of 42,000 people with a long history of manufacturing, and the Goodyear plant is the largest employer in the city. Well-paying manufacturing jobs are vital to cities such as Danville, and support the local economy in both direct and indirect ways. Conversely, the loss of such jobs tends to be felt for years or decades.
We each have a long history with this plant stemming from our terms as Governor of Virginia. Most notably, in 2008 the Kaine Administration helped secure performance-based grants and community funding to support a $200 million investment in modernizing the facility. In the United States Senate, we have worked to open up procurement opportunities for aviation tires for the U.S. Navy; Goodyear later won a competitive bid process for a multi-year to supply the U.S. Navy with a significant portion of their aviation tire needs.
The Goodyear plant in Danville is a well-equipped facility with talented and dedicated workers. It can compete with tires from anywhere in the world as long as the playing field is level. In 2017, we each offered testimony to the Commission in regards to imports of truck and bus tires from China and asked that the Commission combat unfair trade practices to ensure that level playing field. In that case, the Commission acted to combat dumping from the Chinese firms in question.
Since then, truck and bus tire imports from Thailand have increased substantially. There are reports that the same Chinese manufacturers responsible for previous dumping are investing in facilities in Thailand and similarly selling into U.S. markets at below-market prices. If foreign producers are able to circumvent U.S. trade remedies, it undermines the effectiveness of and faith in our rules-based trading system.
We ask that the commission carefully consider the evidence of injury and act to safeguard our domestic industry.
Thank you for your consideration.
Sincerely,
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