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Mass. committee hears bill to prefer U.S. steel for public construction
Summary
Lawmakers and Massachusetts fabricators urged the Joint Committee on State Administration and Regulatory Oversight to approve bills (S.2167/H.3411) that would give preference to U.S. manufacturers for structural steel used in public projects, citing lost jobs, local economic harm and competition from Canadian fabricators.
Senators and steel industry witnesses told the Joint Committee on State Administration and Regulatory Oversight that public construction projects in Massachusetts should prioritize U.S. steel fabricators to protect local jobs and economic activity. Senator Joan Lovely introduced Senate bill 2167 and its House companion, H.3411, which would require public entities to give preference to U.S. manufacturers when purchasing steel, iron and related materials for public construction.
The bill’s supporters said Canadian fabricators and foreign supply chains now win the vast majority of public structural-steel work in New England. John DeVries of Central Steel Supply in Marlborough told the committee that Canadian shops currently take “about 95%” of regional structural fabrication work and that that dynamic has reduced orders, cut shifts and cost local payrolls. Several small- and mid-sized fabricators testified they are operating well below capacity and have reduced staffing.
Proponents cited multiple causes: currency differences, government subsidies in other countries, differences in labor and health-care costs, and international supply chains that allow foreign-made mill steel to be fabricated abroad then shipped here. Witnesses said those factors let foreign fabricators underbid local firms on public jobs, leaving taxpayer dollars to circulate outside Massachusetts.
Opponents and some committee members noted the complexity of federal trade rules and tariffs, and asked for more data on how tariffs and recent federal actions affect pricing. The committee also heard that any preference policy should be designed to withstand federal trade law and to account for the diversity of fabricators in the Commonwealth, from small shops that do 20–30 tons a week to large automated facilities that handle thousands of tons.
The hearing did not include a committee vote. Chairs and members asked for additional materials from stakeholders and for details on how the proposals would interact with federal tariff measures and procurement law. The committee will consider written testimony and further stakeholder input before deciding whether to report the bill out of committee.
