US produced iron and steel
S0687 would add a new section to South Carolina’s procurement code requiring public entities to include a contract term for public works projects and related material purchases that any iron or steel product permanently incorporated into the project be produced in the United States. The bill defines covered products broadly, including structural steel, pipes, fittings, poles, castings, valves, and other construction materials made primarily of iron or steel, and defines “produced in the United States” to require domestic manufacturing processes from initial melting through coating, subject to limited exceptions.
The bill applies to state and local public entities, including school districts, when projects are paid for with state-appropriated funds or state funds administered by a public entity. It directs the State Fiscal Accountability Authority to adopt implementing rules and says the new preference must be applied consistently with international agreements and federal American iron and steel preference policies. The measure also excludes Department of Transportation contracts already subject to federal Buy America requirements.
If enacted, the bill would create a South Carolina “Buy American” preference for iron and steel used in public works projects, changing state procurement requirements for construction, repair, renovation, and related material purchases funded by state money. It would affect state agencies, local governments, school districts, and other public entities by requiring domestic sourcing clauses in contracts, while allowing specified waivers and exceptions for unavailable, insufficient, poor-quality, or excessively costly U.S.-made products, as well as limited incidental foreign content and certain electrical components. The State Fiscal Accountability Authority would gain rulemaking responsibility to implement the new standards.
The bill’s caption and structure indicate a pro-domestic-manufacturing, pro-infrastructure procurement policy, and there is no recorded committee transcript or vote history in the provided material showing opposition or support. Based on the text alone, the measure appears designed to promote U.S. iron and steel production while preserving flexibility through exceptions. Because no discussion or voting record is available, the overall sentiment cannot be measured from legislative debate, but the bill itself reflects a generally favorable posture toward domestic sourcing requirements.
The main points of contention are likely to be the cost and availability exceptions, the scope of what counts as an iron or steel product, and whether the domestic preference could conflict with international trade obligations or federal procurement rules. The bill gives the head of the public procurement unit discretion to waive the requirement if U.S.-made products are unavailable, unsatisfactory, or would raise project costs by more than 25 percent, or if compliance is contrary to the public interest. Another possible issue is the breadth of the exemption for electrical components and the exclusion of Department of Transportation projects already governed by federal Buy America rules.