rediff.com
rediff.com
News Find/Feedback/Site Index
      HOME | NEWS | BUSINESS
July 27, 2000

Achievers
Books
Business
Calendar
Community
Controversy
Cuisine
Eateries
Education
Enterprise
Faith
Good Samaritans
Health
Infotech
Media
Memories
Movies
News Archives
Opinion
Specials
The Arts

US may block lending to Indian steel industry: PTI

E-Mail this report to a friend

T V Parasuram

The US commerce department has proposed to block lending by multilateral agencies, including the World Bank, for fresh capacity addition that could lead to global overcapacity.

In a report outlining protective measures for the domestic steel industry, the commerce department said the continuous assistance and protection India and some other countries gave their steel industries could affect the world steel industry.

Complaining against Indian subsidies, the report said, "With the Government of India expected to continue assisting and protecting the steel industry, there is significant potential for India's market-distorting practices to disrupt global steel trade."

Saying that there was a need to save the American steel industry and its workers' jobs against heavy imports, the report says, "Multilateral agencies should promote economic stability and development abroad, not contribute to overcapacity that ends up hurting American industries and workers."

Analysts say it is overcapacity in some countries and not global overcapacity that should be taken into account. They feel this move could hit countries like India hard because they have to build capacity to meet the burgeoning needs of their own emerging economies.

PTI

Next: Show-cause notice issued on Clinton's visit

Tell us what you think of this report

HOME | NEWS | BUSINESS | MONEY | SPORTS | MOVIES | CHAT | INFOTECH | TRAVEL
SINGLES | NEWSLINKS | BOOK SHOP | MUSIC SHOP | GIFT SHOP | HOTEL BOOKINGS
AIR/RAIL | WEATHER | MILLENNIUM | BROADBAND | E-CARDS | EDUCATION
HOMEPAGES | FREE EMAIL | CONTESTS | FEEDBACK