terminate at the close of October 11, 1967, unless extended by the 1967, rates. For the purpose of this report, sheet glass is discussed under three general categories--thin sheet glass, window glass, and heavy sheet glass--which, on a weight basis, are designated as follows: Category Weight per square foot Thin sheet-- follows: ounces Heavy sheet------ Over 28 ounces Window glass measuring 100 united inches (length plus width) or less is currently dutiable at rates significantly higher than the trade-agreement rates. Window glass measuring over 100 united inches, all thin sheet glass, and all heavy sheet glass are dutiable at the trade-agreement rates (table 1). The modified escape-action rates of duty currently applicable to imports of window glass, as well as the trade-agreement rates scheduled to become effective at the close of December 31, 1969, and the ad valorem equivalents of those rates, based on 1967 imports, are as U.S. Tariff Commission, Sheet Glass Blown or Drawn Flat Glass): Report to the President on Investigation No. TEA-I-EX-4 Under Section 351(d)(3) of the Trade Expansion Act of 1962, TC Publication 215, 1967 (processed). For window glass measuring not over 40 united inches, the current (modified escape-action) rate reflects a duty reduction of 15 percent below the escape-action rate effective before January 11, 1967; for window glass measuring over 40 but not over 60 united inches, 6 percent; and for that measuring over 60 but not over 100 united inches, 21 percent. Reductions from the current rates amounting to 36, 40, and 27 percent, respectively, will occur when the modified escape-action rates expire on December 31, 1969. Inasmuch as increased rates of duty remain in effect for a particular category of sheet glass, the Commission is required, under the provisions of section 351(a)(1) of the Trade Expansion Act of 1962, to make an annual report on developments with respect to the sheet glass industry. This report presents data for all sheet glass as well as for the three categories of such glass; it is confined principally to developments that have occurred since those described in the Commission's report of September 8, 1967. U.S. Consumption The apparent U.S. consumption of sheet glass was 7.5 percent lower in 1967 than in 1966, marking the third consecutive year that such consumption had declined (table 3). The apparent consumption of window 1/ glass, was slightly higher (1 percent) in 1967 than in 1966, but that of thin and heavy sheet glass was lower by 46 and 16 percent, respectively (table 5). The reduced consumption of sheet glass in 1967 is attributable primarily to a decline in automobile production and a sluggishness in residential construction--the principal markets for sheet glass (table 4). 1/ Data on U.S. consumption, production, and shipments of window glass include such glass measuring over 100 united inches because data thereon cannot be segregated in the statistics obtained from the U.S. producers. Window glass measuring over 100 united inches constitutes only a small portion of total U.S. consumption, production, and shipments of such glass. In percent Corresp reflect glass J.S. was h Stat ear Pen wer in Te In 1966 window glass made up about 60 percent, thin glass about 4 percent, and heavy glass about 36 percent of the apparent U.S. consumption. Corresponding ratios for 1967 were 65, 2, and 33 percent, respectively, reflecting the increased importance of window glass in the U.S. sheet glass market in 1967. Preliminary data for January-June 1968 indicate that the apparent U.S. consumption of all sheet glass, as well as that of window glass, was higher than that in the comparable period in 1967. U.S. Producers In 1967, 6 firms produced sheet glass in 14 plants in the United Pennsylvania was shut down. Tennessee. were producing sheet glass in West Virginia, 2 in Oklahoma, and 1 each in Pennsylvania, Louisiana, Arkansas, Ohio, Illinois, California, and The 6 firms were operating 27 glass furnaces (or tanks) with attached glass-drawing machines in June 1968. Not all of the drawing machines in operation at this time, however, drew glass for sale to the trade; some were used to draw glass for experimental purposes. About 10 percent of productive capacity was idled by furnace shutdowns for repair or modifications in 1967 and the first half of 1968. The U.S. sheet glass industry continued to modify production facilities in order to increase productivity, lower costs, and improve product quality. The principal modifications consisted of increased automation in the cutting and handling of cut sheet glass but other phases of the production process were also improved. U.S. productive capacity as of June 1968 was about 5 percent greater than that at the end of 1966, principally because of the addition of a new production facility on the West Coast. U.S. Production, Shipments, and Inventories U.S. production in 1967 was lower than in any year since 1961 and U.S. shipments were lower than in any year since 1958. U.S. production and shipments of sheet glass were lower in 1967 than in 1966 by 7 and 10 percent, respectively (tables 6 and 3). and 3). Preliminary data indicate that both production and shipments in January-June 1968 were about 9 percent greater than those in the comparable period of 1967. U.S. producers' shipments of window glass were about 3 percent lower in 1967 than in 1966, even though U.S. consumption of such glass was slightly higher in 1967. In 1967, however, window glass constituted 68 percent of total U.S. shipments of sheet glass, as compared with 63 percent in 1966. Preliminary data for the first half of 1968 indicate that U.S. shipments of window glass were 7 percent higher than those in the first half of 1967. and 21 perce of 19 from marke sheet prod wind and shee pero per per per cen an and th of |
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