Pa. lawmakers hope to reclaim steelmaking dominance

They’ve joined forces to introduce FORGES bills in the House and Senate.

Five state lawmakers are introducing legislation that would aid the state’s steel industry.

State Sens. Nick Pisciottano, D-West Mifflin, and Patty Kim, D-Dauphin, along with state Reps. David Madsen, D-Dauphin, John Inglis, D-West Mifflin, and Nate Davidson, D-Cumberland/ Dauphin, came together to create Senate Bill 949 and House Bill 1749. Both bills together are titled Fueling Opportunities for the Revitalization, Growth, and Efficiency of Steel (FORGES).

According to a statement from the legislators, the FORGES bills have two main components:

• A sales and use tax exemption for Pennsylvania-made steel, which is aimed at incentivizing production in Pennsylvania-based facilities and generating increased demand for high-quality steel made in the state.

• FORGES tax credit program: Businesses investing in steelmaking facilities in Pennsylvania will qualify for tax credits, with incentives for those that adopt the latest technologies and processes to boost efficiency and sustainability.

“Pennsylvania’s steel built this country’s cities, powered its military victories and created the union jobs that built the American middle class,” Pisciottano said. “It’s time we recommit to that tradition and invest in the future of steelmaking in our state.”

The legislation comes after Japan’s Nippon Steel finalized its $14.9 billion partnership with U.S. Steel last month. The deal calls for Nippon to invest $11 billion in U.S. Steel facilities through 2028.

The deal gives President Donald Trump major veto power regarding the company’s business decisions. There were concerns about a foreign company taking control of a domestic company like U.S. Steel, but to mitigate concerns, the companies have entered a national security agreement.

State officials like Pisciottano have reacted happily to the U.S Steel-Nippon deal, with hopes that Nippon keeps true to its end of the agreement.

“Nippon’s planned investments have the potential to jump start an exciting new era in our region’s long history of manufacturing,” Pisciottano said in a statement last month. “I look forward to working with Nippon and U.S. Steel to ensure that the benefits of this potential renaissance reach every worker, neighborhood, and resident in the Mon Valley.” According to the lawmakers, the FORGES legislation is meant to reinvigorate a steel industry that has been struggling in recent years.

The legislation has already caught the attention of local union leaders.

“I think it’s very important, the steel industry is still a huge part of our economy in Western Pennsylvania” said Bernie Hall, director of USW District 10, based in North Versailles. “This is legislation that actually has teeth behind it.”

In a news release, Hall added that the union is hopeful that other state legislators will support the FORGES bill and that it eventually reaches Gov. Josh Shapiro’s desk.

Madsen shared a similar sentiment as Pisciottano.

“I will continue to fight for Pennsylvania’s steel industry and stand by the hundreds of steelworkers in my district,” he said. “It’s time for the state to step up and create meaningful incentives to revitalize this vital industry while protecting jobs, creating new ones and keeping our communities strong.”

Kim, who represents the area around Harrisburg, recalled how steel has shaped communities like Steelton Borough, which she serves. Steelton has a Cleveland-Cliffs steel mill, but the steelmaker has indefinitely idled it.

“Unfortunately, underinvestment has limited the plant from reaching its full operational potential when our nation stands at a critical juncture,” Kim said. “The state just announced over $90 billion in AI development and energy projects, the electrical grid is desperate for increased production, and national defense is more important than ever with developments in the Middle East.

“There is no reason the Steelton mill should not be running around the clock producing the materials needed to support every one of these endeavors, like it has for over 150 years.”

TribLive contributed to this article.