July 25, 2006

"All of the employees of MeadWestvaco’s Blair facility greatly appreciate Congressman Shuster's testimony," said Perry Smith, MeadWestvaco’s Blair Plant Manager.  "This trade case is tremendously important to us.  We can compete on a level playing field, but we can’t fight off dumped and subsidized imports forever.  We thank the Congressman for asking Washington to help us, and to stand up for American companies and American jobs."

Thank you Chairman Pearson, Vice Chairman Aranoff, and Members of the Commission. I appreciate the opportunity to be here today to speak on behalf of the domestic producers of lined paper school supplies and their employees.

I am proud to represent two U.S. producers of lined paper school supplies in the Ninth District of Pennsylvania: MeadWestvaco’s Blair facility in Alexandria, PA, and the Roaring Spring Paper Products in Roaring Spring, PA. With their suppliers and customers, these two plants provide hundreds of good jobs in the Ninth District and are critical to our local economy.

MeadWestvaco employs more than 400 workers at its Blair plant in Alexandria. The plant has been an important employer and supporter of the Alexandria-Huntingdon County community for its more than 125 years of continuous operation. Obviously, a lot has changed in 125 years, but throughout this time, MeadWestvaco has invested and continues to invest in this operation to maintain its competitiveness.

Roaring Spring’s history dates back to 1886, when the Blank Book factory was founded. It has survived and grown through five generations and nearly 120 years. Today, Roaring Springs provides jobs for between 250 and 300 people.

Unfortunately, this long and proud history is being threatened by dumped and subsidized imports of lined paper school supplies from China, India, and Indonesia. To compete with unfairly priced and manipulative offshore competition, MeadWestvaco, Roaring Spring, and other domestic producers have had to give up sales or cut their own prices to unsustainable levels. The dramatic and sudden growth in imports from China, India, and Indonesia has resulted in lost profits, closures of production facilities, lower capital investment and R&D, and hundreds of lost jobs.

There is solid evidence that imports from these countries are a cause of injury to our Pennsylvania producers. For example, in 2005 the workers at Roaring Spring filed for and received trade adjustment from the Department of Labor due to increased import competition. MeadWestvaco workers at other facilities have also received Trade Adjustment Assistance due to imports.

These developments concern me greatly, for several reasons. Manufacturing is the core of the American economy. A strong and vibrant manufacturing sector is absolutely necessary to improve our trade balance with the rest of the world and to create good jobs with competitive wages. In Congress, we are doing all we can to help American manufacturers compete in the global marketplace. But, as I have said time and time again, our companies and workers can only compete if the playing field is level and fair. Our trade laws are an indispensable tool for ensuring that this level playing field exists. If foreign manufacturers are selling dumped or subsidized goods here, and those goods are injuring a U.S. industry, this Commission should not hesitate to provide the relief required by our trade laws.

Second, I know the importance of these plants to the people of central and western Pennsylvania. These plants are the towns. Not only are they themselves major employers, but they create hundreds of other jobs at dozens of companies providing them goods and services. Their local governments and school systems depend heavily upon them for tax revenues. If unfair foreign competition forces them to close, the disruption to these communities would be massive.

MeadWestvaco is not only the area’s largest employer, but also a model corporate citizen. It provides well-paying full-time jobs with excellent benefits, as well as hourly and summer employment to students saving for college. It donates large quantities of notebooks and other merchandise to local schools and charitable causes. The company also recently pledged $100,000 for the purchase of a fire truck. Roaring Spring is equally involved in the Roaring Spring community, as you might expect from a company named after its hometown.

The domestic industry has been forced to close several of its other lined paper producing facilities in recent years. Dumped and subsidized imports from China, India, and Indonesia have been a major factor in these closings. Domestic producers like MeadWestvaco and Roaring Spring have done everything they can do to remain competitive. I sincerely hope that they will not be forced to stop their domestic production entirely. If they do, it will have profound effects not only on these companies, but also on hundreds of my constituents and their families who depend on these jobs for their livelihood. I am sure that, after considering the evidence of record, you will conclude that imports of dumped and subsidized lined paper school supplies from China, India and Indonesia are injuring the domestic industry, and that the industry is entitled to the relief which the law provides.

Thank you.