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As just one example: Steel production in the US is among the most automated capital-intensive in the world. Not even the Japanese eclipse us there. Yet we will lose our industry despite our superior productivity...and then the steel market prices here will balloon.

This is where you are completely wrong. Steel manufacturing in the US is ancient compared to newer, smaller steel manufacturers overseas.

Why do you think Bush imposed steel tarriffs? The idea was to give the industry some time to upgrade and become competitive.

Why is our steel industry so behind on technology? First, unions demanded worker protections and less automation. Second, owners that held the short-view of competition and the hope of gov't intervention.

I know this industry well. It is not advanced compared to overseas facilities.

Not even the Japanese eclipse us there.

Whoa man! Where you been?

Until 1990, I was in the Steel foundry and machining business. The japs destroyed us by innovations that I cannot even begin to list.

You would think that with the shipping costs from Japan, that we would have had some sort of edge, but no way.

They put the foundry finishing process on ships and finished the product as they transported it. It was amazing what they did!

In order to maintain our manufacturing, we must do likewise. Some have and survived, but those who do not are going.

Innovation has always been the key to survival.

It is possible that we are too stupid to innovate any longer. I sure hope the hell not, but it looks that way.

Your generalizations demonstrate your spin.

There are only a few steel firms in the USA which have not adequately modernized, and they are the best-known "big" names in the business.

The small mills, all over this country, are doing fine.

What actually happened/will happen with the bankruptcy of Big Steel is that their pension plans will be picked up by the US taxpayer and pensions will be reduced significantly for ex-Steelworkers.

But remember, Erik--those union agreements were agreements on BOTH sides. Big Steel, like Big Auto, gave a lot away; usually because management was just as greedy as the unions.

Or didn't you learn that in automation class??

This is where you are completely wrong. Steel manufacturing in the US is ancient compared to newer, smaller steel manufacturers overseas.
I know this industry well. It is not advanced compared to overseas facilities.

Horsefeathers.

2000 National Productivity of Steel Production
Country	Steel Production (million metric tons)	Employment (thousands)	Productivity (tons/employee)
Australia	8.5	21	404
Austria	5.7	12	475
Belgium	11.6	20	580
Brazil	27.9	63	443
Canada	16.6	56	296
Finland	4.1	8	512
France	21.0	37	567
Germany	46.4	77	602
Italy	26.7	39	684
Japan	106.4	197	540
Luxembourg	2.6	4	650
Netherlands	5.7	12	475
South Korea	43.1	57	756
Spain	15.8	22	718
Sweden	5.2	13	400
United Kingdom	15.2	29	524
United States	101.5	151	672

US steelmaking technology remains among the most productive industries on the face of the planet. In fact, US steelmakers such as Nucor operate at productivity levels exceeding 1000 tons/employee. However, these high-tech mini-mills achieve their productivity levels by recycling scrap. Our national average is somewhat lowered by the existance of larger, integrated mills that are used to produce steel from virgin raw materials and ore. Many smaller nations do not have this capability.

Advanced US steelmaking technology is being undercut in the global market by more antiquated, pollution-belching technology.

Frankly Erik, your lack of understanding of these facts exposes you as a fraud.

186 - "Steel manufacturing in the US is ancient compared to newer, smaller steel manufacturers overseas."

The old steel processing facilities closed years ago - where do you think the term rust belt came from.

Since you say you know so much about the steel industry, how about giving us some plant names/locations/examples and their technologies and dates of those technologies. The EPA drove most 'ancient' steel manufacturers out of business, years ago.

I am personally familiar with one old plant we shipped to Poland, back in the early 80's.