Bethlehem, city in Northampton and Lehigh counties, eastern Pennsylvania, on the Lehigh River. With nearby Allentown and Easton, Bethlehem forms an important industrial and manufacturing center. The city contains the headquarters of the Bethlehem Steel Corporation, one of the largest producers of steel in the United States, although the majority of its operations are carried out in other cities. In November 1995 the company closed the last operating blast furnace in its original plant, ending more than 100 years of continuous steel production in Bethlehem and laying off 1800 workers. Other manufactures include textiles, foundry products, machine parts, chemicals, electrical equipment, and food products. Lehigh University (1865), Moravian College (1742), and a community college are in Bethlehem. It is the site of an annual May festival featuring the music of Johann Sebastian Bach, and is the home of the Bach Choir (founded 1898). The city was founded in 1741 by immigrants belonging to the Unitas Fratrum (now known as the Moravian Church), who named it on Christmas Eve of that year to commemorate Jesus Christ's birthplace. It was incorporated as a city in 1917. Bethlehem's Christmastime celebrations and restored 18th-century buildings attract many tourists to the city. Population 70,419 (1980); 71,428 (1990); 69,383 (1998 estimate).