Trade remedies for steel and aluminum were long overdue

Robert E. Scott

Robert E. Scott Senior Economist and Director of Trade and Manufacturing Policy Research, EPI

President Trump said today that he has decided to impose tariffs of 25 percent on all steel imports and 10 percent on aluminum imports, promising to sign the measures next week. Trade remedies for steel and aluminum were long overdue. Trump promised quick action after announcing investigations of the national security threats imposed by steel and aluminum imports nearly a year ago. Delays worsened the import crisis for thousands of U.S. steel and aluminum workers, many of whom are facing layoffs and plant closing announcements.

The crisis in steel and aluminum trade is driven by the development of massive amounts of excess production capacity, which has resulted in import dumping by China and a number of other countries singled out in the Commerce Department’s reports on its “section 232” investigations into the impact of imports of steel and aluminum products on national security. In its reports, which presented tariffs as one of three optional responses, the department found that unfair steel and aluminum imports “threaten to impair the national security.” In addition to China, other key countries identified in the Commerce reports included Brazil, South Korea, Russia, Vietnam, and 6 others in steel; and Hong Kong, Russia, Venezuela, and Vietnam in aluminum.

Now that the tariffs have been announced, the United States should work with other nations to develop coordinated responses to unfair trade in these products. This announcement should mark the beginning, rather than the end, of efforts to develop coordinated global responses to the problems of excess capacity in steel and aluminum trade.

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Reposted from EPI

Posted In: Allied Approaches

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Raise the Wage!

From the AFL-CIO

It’s been a decade since the federal minimum wage was increased—the longest period in American history without an increase. In that time, the cost of living has increased and working families have struggled to make ends meet. The Raise the Wage Act would finally bring the federal minimum wage up to $15 an hour.

The House of Representatives is voting tomorrow on the Raise the Wage Act, and we need to make sure lawmakers know where workers stand. Will you show your support and ask your friends to call their representatives?

One in 9 workers in the U.S. is in poverty—even when working full time and year-round. Passing the Raise the Wage Act as it stands would empower working families in need and build an economy that works for everyone.

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