No Surprise-- Defective Imported Steel Pipe Being Dug Up
In April 2009, we reported on the controversy surrounding subsidized Indian steel pipe being imported for the TransCanada Keystone pipeline. Not only was the unfairly subsidized pipe being used at a time when U.S. manufacturers of steel pipe stood ready to produce the same pipe, but there were concerns about the structural safety of the imported pipe.
Not surprisingly, TransCanada is now digging up 10 sections of the $5.2 billion crude oil pipeline, including one in Missouri, after" government-ordered tests identified possibly defective steel may have been used in the construction." All 10 sections of pipe currently being tested were manufactured in India.
In an editorial at the time, Alliance for American Manufacturing (AAM) Executive Director Scott Paul explained why it makes sense to use safe, high-quality American steel pipe:
The pipe for TransCanada's oil pipeline project should have been made in America. But TransCanada chose the low road and selected the subsidized Indian pipe for the vast majority of the project...it's not too late for TransCanada to make the right call on its new Keystone XL pipeline. And it's not too late for federal, state, and local officials to tell TransCanada that if the company wants to secure permits and right-of-way, they need to make the pipe in America...India subsidizes its steel and should be held to account. Other countries that cheat should understand the consequences.
Next time: Buy American. Save money and Save jobs.
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