Document 5b51BDe68bgwoN04BZy7LZL0

W!W?Wf*^?$9?Pj?p5^^JPPpPWWpP!,'?|I fWPiP 'W?ww '1 1 i ' ! 31 "1 '% $ i jm / -j - I * d man "a" PRESIDENT'S ADDRESS *y D. Broward Craig President Lead Industries Association, Inc. and Executive Vic* President fit. Joe Minarals Corporation Nineteen hundred seventy-three has baan a fascinating yaar la tha lead business. Ninetean bundrad seventy-four should prova squally Intarssting. We hops that today's prograa will hold your attention. Had wa fixed tha sub jects a year ago, today's session would certainly not have placed tha Sana emphasis on energy. But just as our companies aust react to new develojoents, tbs LIA Bust and does have tha flexibility to nova to neat such changes. To sat tha background for today's talks, it seems worthwhile to reflect on soma of tha events of the past year and consider this pertinency of the major efforts now being carried on by your Association. Reported statistics indicate that world production of lead in creased slightly in 1973 over the previous year, going from about 4,450,000 abort tons to about 4,560,000 tons, while consumption was almost unchanged. In the United States, production and consumption remained constant. Yet most people in this room would agree that adequate supplies have been increasingly difficult to obtain. Significant changes have occurred in the supply pattern ss economic policy isolated the United States from the normal world flow. With foreign and D.S. demand strong, and the U.S. lead price restrained by ths Cost of Living Council, foreign imports dropped sharply in 1973 -- from over 340,000 tons to less than 160,000 tons -- and soma U.S. production wandered overseas. To cops with this shift, the GSA stockpile was tapped in much greater quantities than previously expected, rising from 50,000 in 1972 to 242,000 tons in 1973. m ?I ms? 4fippjmiwaiaJkfMip^^ . > LJa ^1323 j i ;- - Z' f 1 : i r i r i i. l i. |: *" 'L ri- p. '% k: K` - e' f f ' : .1 \ j i ' } i ,? '1 >s :9 . 1 1 --1 'J =a 1 l- f. t' i ' - D. 8M0KAXD CRAIG / .......... . Page -2- .. 4. * Decontrol of lead prices In Decanter of 197) brought 0.8. price incr**t, a s sxpctAd. Curiously# hovsvsr, demand throughout the world has remained strong# and so far In 1974 a substantial disparity between tJ.S. and foreign price* continue*, imports of lead into the O.S. are *till down, none O.S. exporting of lead and lead product* continue* and CSX drawdown* are heavy. This picture raise* question*, both a* to root cause* and a* to what will happen. Concerning the causes, surely world inflation 1* involved. including the relative rates in various nations and the concomitant adjust- manta in currency values. It follows that there should be greeter stability as thes* relationships settl* out. Nevertheless, the changing economics of production, with vastly greater capital investment coats -- pertly related to environmental health policy -- and escalating labor and materials costs. will henceforth probably tie lead costs and prices mors closely to general inflation rates than heretofore. As for results, is there a basic shortage of supply? We think not. In fact, even today it seems that there is a reasonable world balance between supply and demand. And additional reserves will be coming on stream. :______ ____________ ______ -- The greater danger to lead producers and fabricators is in a decline in usage. based not so much on pries as on technology. For example, the newly adopted regulations on lead in gasoline could reduce usage <?f lead for this purpose ' from about 275,000 tons in 1973 to under 100,000 tons in 1980, And tonnage used for ammunition, cable sheathing, sheet lead, solders and other uses ar# on the decline. Despite the current profitability of th* lead business, it is clearly the time to redouble efforts to defend old uses and find and cosrnerclalir* new ones. This is where LIA, as well as I1ZR0 -- th# industry research # f<9 - 3 D. BROWARD CRAIG organization -- play an ever-increasing rola. Tha major thrusts ara thasai 1. At indicatad in tha LU Annual Report, almost 40% of 1973 Project funds want into tha Health and Safaty Araa. Additional funds cams from ILSRO and tha tatraathyl laad producera, Jerry Cola will talk to you specifically on this subjact this morning, so 1 shall neraly note that this work Involve* a number of facets, ranging from defending tha use of laad in gasoline, to showing that pediatric laad poisoning is not related to current lead products, to developing and disseminating Information concerning appropriate tests and safeguards for workers at lead producing plants. This year wa are also taking action to promote manufacturing standards for tha use of lead glasas in ceramics, an important araa which Jerry Smith will talk about later today. 2. That the promotion and advertising of the various uses of lead has been stepped up is evident from the kits you received at registration as well as the display in tha rear of tha room. In 1974 tha use of lead for sound attenuation will receive increasing attention as will various architectural applications. A major project begun last summer and floweringjthis year is the z' production of a new motion picture to replace The lead Matrix. It will emphasize the positive aspects of lead and its modern uses 3. Emphasizing e particular market which could absorb important additional tonnages of lead is the GoLIAth project which Connell Baker will.... ......... describe shortly. The petroleum fuel shortage has accelaratad interest in battery-powered vehicles remarkably and we believe it la time to spend real money both to show what is now available and, through encouraging and doing research, to further perfect the lead acid traction battery. 4. finally, with tha welcome addition to our ranka of a number of solder manufacturers, wa shall be trying to help them develop meaningful programs in that araa of laad use. LIA21325 D. BKOKMO CSAIO Pag* With th* increasing nd for n*w lead product development and promotion, it la fitting that effort* of th* International Lead fine Research Organisation and Development Association* around eha world should becose more and sere integrated. To assist in this effort, ther* was established in 1971 a Joint World Cosnitte* which has representation from th* various organisa tions and their sponsors and discusses th* ongoing programs of each. A profit able meeting was held here earlier this week which should help Phil Robinson and your next two speakers to ensure that what their organization* ar trying to do ar* mutually supportive. To sum up, I believ* that despit* current tightness of supply, th* t~~ critical problem of th* next few years in lead is th* development of expanded, n- .> f commercial markata -- and e major effort in this arsa needs to be undertake* ir % ji- by ail of us, both individually and especially through LIA. -?v t I.'.:. fc I1 m ,: - jesu.-'-.fi&'v -irtffa-