US steel industry groups are again asking lawmakers to include significant infrastructure funding in the next phase of the coronavirus stimulus legislation.

Members of The American Institute of Steel Construction, American Iron and Steel Institute, Steel Manufacturers Association, The Committee on Pipe and Tube Imports and Specialty Steel Industry of North America signed off on a letter sent to the US Senate leadership July 20 highlighting their support for significant funding for state departments of transportation.

"As a result of economic hardships in states across the country, DOTs have been forced to delay or cancel key infrastructure projects because of revenue shortfalls and the impact of COVID-19," the letter states.

"To ensure that these projects can proceed and create demand for essential [steel] products and support good wage jobs used in the transportation sector, the steel industry requests Congress include at least $37 billion for state DOTs in the future relief bill that will be considered by Congress this month."

"Ensuring that state DOTs have appropriate funding to carry out essential projects is an important first step in our nation's economic recovery," the letter further stated.

A report by the American Association of State Highway Transportation Officials estimates that state DOTs will average at least a 30% reduction in state transportation revenues in the next 18 months, the groups noted. The delay or cancellation of key infrastructure projects will result in decreased demand for steel products, the groups said.

"Making a long-term and robust infrastructure investment now will not only respond to the urgent transportation system needs that are well known, but it also will create high paying jobs allowing businesses and families to recover from this extremely difficult economic shock," the letter stated.