U.S. Sen. Robert Casey, D-Scranton, pressed the
Department of Defense on Tuesday to speed release of tungsten from strategic
stockpiles to preserve jobs at American manufacturers who depend on buying some
of that supply.
Casey said in a letter that the industry is
"dominated by China,"
and he was fearful that unless DOD acts quickly, hundreds of jobs will be lost
overseas as well as the "intellectual capacity" to make parts
necessary for national defense.
Figures from the U.S. Geological Survey show that last
year, China
produced 83 percent of the world's tungsten and kept a substantial amount for
its own consumption. The United States,
Europe and Japan consume 55
percent of the world's tungsten production while producing 5 percent, according
to Ormonde Mining of Ireland.
Kennametal Inc., which has a plant in China, has
expressed concern over the outlook for obtaining certain raw materials to
continue American manufacturing operations. The industrial tooling manufacturer
is based in Unity.
"It is our understanding that an interruption in the
tungsten concentrate feedstock used by American tungsten manufacturers will
force the shutdown of several production lines and eliminate hundreds of
American manufacturing jobs," Casey said in his letter.
Two years ago, China began restricting exports of
rare earth materials used in military weapons as well as domestic uses such as
LED screens, other electronic goods and hybrid cars. Several companies outside
of China
began mining projects, but with mixed success.
Colorado-based Molycorp recently acquired a company to
process some of the material in China,
where rare-earth engineering is concentrated. Another project in Malaysia has
been delayed for environmental reasons.
The Defense Department uses tungsten in "many
strategically vital weapons systems," Casey said. He noted the country has
34 million pounds of tungsten reserves and had indicated it plans to release a
maximum of 8 million pounds this year.
So far, he said, no tungsten has been released.
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