Back in March 2018, President Donald Trump announced that he would be imposing 25 percent tariffs on foreign steel.
American steel consumers were suddenly forced to buy more expensive steel because the president thought it was a better way for them to spend our money.
As a result, the price of steel went up for a while, the U.S. steel industry fired up its mills, and U.S. steel output went up dramatically.
As U.S. companies were still trying to figure out their options, some had no choice but to shift their demand and increase purchases of domestic steel.
As Bloomberg's Matthew Townsend and Joe Deaux recently reported: "Suppliers to blast furnaces are sounding the alarm. In laying out his vision for iron-ore miner Cleveland-Cliffs Inc. at a recent conference, CEO Lourenco Goncalves painted a bleak future for what makes up the overwhelming majority of his current customers." The article adds that since "Trump announced the tariffs 16 months ago, U.S. Steel has lost almost 70% of its market value, or $5.6 billion, and idled two American furnaces in mid-June that couldn't be run profitably at the lowest prices since 2016.".
One reason for the global slowdown is the Trump trade war, which started with the steel tariffs, produced uncertainty, increased costs, and triggered a disruption in the supply chain.
https://reason.com/2019/07/11/the-global-trade-war-comes-full-circle/
American steel consumers were suddenly forced to buy more expensive steel because the president thought it was a better way for them to spend our money.
As a result, the price of steel went up for a while, the U.S. steel industry fired up its mills, and U.S. steel output went up dramatically.
As U.S. companies were still trying to figure out their options, some had no choice but to shift their demand and increase purchases of domestic steel.
As Bloomberg's Matthew Townsend and Joe Deaux recently reported: "Suppliers to blast furnaces are sounding the alarm. In laying out his vision for iron-ore miner Cleveland-Cliffs Inc. at a recent conference, CEO Lourenco Goncalves painted a bleak future for what makes up the overwhelming majority of his current customers." The article adds that since "Trump announced the tariffs 16 months ago, U.S. Steel has lost almost 70% of its market value, or $5.6 billion, and idled two American furnaces in mid-June that couldn't be run profitably at the lowest prices since 2016.".
One reason for the global slowdown is the Trump trade war, which started with the steel tariffs, produced uncertainty, increased costs, and triggered a disruption in the supply chain.
https://reason.com/2019/07/11/the-global-trade-war-comes-full-circle/
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