Obama Administration May Adjust “Buy American” Steel Claims


Despite the effects only garnishing a non-handout to a small group of non-American steelworkers, the buy American rule included in the U.S. stimulus bill, which included language that stated projects developed under the new stimulus packages must be developed using steel and iron made in the United States, is under review by the new Obama administration.

“None of the funds appropriated or otherwise made available by this act may be used for a project for the construction, alteration, maintenance, or repair of a public building or public work unless all of the iron and steel used in the project is produced in the United States,” included the language of the bill.

Canadian steelworkers were offended by the movement of the bill, and it’s safe to assume that a number of U.S. capitalists and economists suggested that such a protectionist move in terms of steel and iron trade would damage the reputation and development capacity of any building projects which do take place under the bill. It likely would additionally increase the expense of managing projects under the bill.

“The administration will review that particular provision and will make a determination of it,” said Robert Gibbs on Friday.

The bill was approved by the House of Representatives on Wednesday, and is currently before Congress.

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