WASHINGTON, D. C. - Companies that produce steel in the Cleveland area will likely benefit from tariffs that President Donald Trump is imposing on imported steel, while manufacturers who use it are steeling themselves for increased raw materials prices, experts say.
Earlier this month, Trump signed an executive order imposing 25% tariffs on steel and aluminum imports, effective March 12. He said they were “the first of many,” tariffs he plans to impose on imports to the United States.
The White House said a flood of cheap steel and aluminum from abroad, often subsidized by foreign governments, weakens the domestic economy and threatens to impair national security.
“Our nation requires steel and aluminum to be made in America, not in foreign lands,” Trump said as he signed the order. “We need to create in order to protect our country’s future and the resurgence of U.S. manufacturing and production, the likes of which has not been seen for many decades. It’s time for our great industries to come back to America.”
The tariffs are likely a good sign for producers like Cleveland Cliffs. Tariffs will drive up the cost of foreign competition to the company, which is the largest flat-rolled steel producer in North America.
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