(The Center Square) – A coalition of Democrats have introduced a pair of companion bills into both chambers of the Pennsylvania General Assembly in the hopes of strengthening the state’s steel industry.
Sponsors say the Fueling Opportunities for the Revitalization, Growth, and Efficiency of Steel, or FORGES, legislation would “support domestic steel production and protect one of the state’s most critical industries from global economic pressures.”
The Senate bill is being introduced by Sen. Patty Kim, D-Harrisburg, and Sen. Nick Pisciottano, D-Monroeville. In the House of Representatives, sponsors include Rep. Dave Madsen, D-Steelton; Rep. Nate Davidson, D-Lemoyne, and Rep. John Inglis, D-West Mifflin.
The group represents the Pittsburgh area with its historic role in steel production and Steelton, near Harrisburg, which recently suffered a major blow after Cleveland-Cliffs idled its plant there, impacting 551 workers.
“It’s time for the state to step up and create meaningful incentives to revitalize this vital industry while protecting jobs, creating new ones, and keeping our communities strong,” said Madsen.
The bill would provide incentives for companies purchasing Pennsylvania-made steel, including a sales tax exemption. For businesses willing to invest in the state’s steel industry, the legislation would provide tax credits. Tax credits would include “enhanced incentives for those that incorporate the latest technologies and processes to increase efficiency and sustainability.”
With incentives, legislators hope to reinvigorate an industry that once produced nearly half the nation’s steel. Supporting the initiative, Sen. Kim spoke of the history of production in Steelton through defense projects and public works, even producing steel for the Golden Gate Bridge.
“Unfortunately, underinvestment has limited the plant from reaching its full operational potential when our nation stands at a critical juncture,” said Kim. “The state just announced over $90 billion in AI development and energy projects, the electrical grid is desperate for increased production, and national defense is more important than ever with developments in the Middle East. There is no reason the Steelton mill should not be running around the clock producing the materials needed to support every one of these endeavors, like it has for over 150 years.”
The labor unions who represent the state’s steelworkers have indicated support for a bill that might bring some jobs back online while shoring up others that some fear could be outsourced to states without collective bargaining protections.
“The best part of the bill is that it brings the steel industry into the state budget conversation,” said Bernie Hall, director of USW District 10, based in North Versailles Twp. “The steel industry is still a huge part of our economy in western Pennsylvania. There are thousands of workers in the steel industry here.”
“Pennsylvania’s steel built this country’s cities, powered its military victories, and created the union jobs that built the American middle class,” said Senator Pisciottano. “It’s time we recommit to that tradition and invest in the future of steelmaking in our state.”
To that end, the recently approved $14 billion merger between Pittsburgh’s U.S. Steel and Japan’s Nippon Steel promises to usher in a new era for the region’s manufacturing. The deal has been met with a mix of skepticism and enthusiasm as interested parties evaluate how the introduction of foreign leadership will impact the industry.
