US steelworkers will receive large orders due to localization in the new Biden law. The new federal law on large-scale investments in infrastructure, signed by US President Joseph Biden, will provide American steelworkers with an additional demand for steel – 5 million tons for every $ 100 billion.

инвестиции в железнодорожный транспорт
Picture: www.bbc.com

This was reported by the S&P Global Platts news agency with reference to a statement by the American Iron and Steel Institute AISI.

It notes that of the $ 1.2 trillion that will be allocated from the US federal budget under the new law, $ 225 billion in public investment will go to programs that create additional demand for steel, informs the railway magazine Railway Supply.

Of these, $ 110 billion for the construction and repair of roads and bridges, $ 66 billion for the modernization of passenger and freight railways, $ 39 billion for the renovation of public transport, and $ 7.5 billion for the development of the production of electric vehicles.

Additional demand for steel in the US will be provided by the products of local metallurgical plants, as it contains a reference to the provisions of the Buy American Act (“Buy American”), said S&P Global Platts.

The Ministry of Infrastructure will not start any large project without localization – Kubrakov

President Joe Biden signed the Infrastructure Investment and Jobs Act Nov. 15, which includes Buy American provisions for the $1.2 trillion in federal infrastructure spending. According to him, this initiative will contribute to the creation of additional jobs throughout the country.

Earlier, the deputy head of the Verkhovna Rada Committee on Economic Development Dmitry Kisilevskiy announced the need for an early adoption of the draft law on localization.

According to him, the final adoption of the document on the compulsory production in Ukraine of components for machinery purchased abroad will create new jobs for Ukrainians, will contribute to the inflow of investments and the growth of the national economy.

On July 21, 2020, the Verkhovna Rada adopted draft law No. 3739 on the localization of industrial production when purchasing foreign equipment for state-owned companies and government agencies in the first reading.

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