The Senate took a first step on Wednesday to reclaim some of the authority on trade that it has delegated to the president. The Senate passed 88 to 11 a motion to include language in the energy and water appropriation bill that would provide “a role for Congress in making a determination under Section 232 […]
Passage of the Senate motion to give Congress a role in deciding Section 232 tariffs was met with approval by the Coalition of American Metal Manufacturers and Users (CAMMU). The United Steelworkers offered qualified approval, but called for caution. “The Coalition applauds the Senate for taking this important first step to reassert its authority in […]
House members submitted a bill on Wednesday to amend the Trade Expansion Act of 1962 that mirrors a bill proposed in the Senate to limit the administration’s power to adjust imports in the name of national security. The bipartisan bill H.R. 6337, introduced by Rep. Mike Gallagher (R-WI), would require a 60-day period for Congress […]
It’s a beautiful day in Maine. I spoke to the Chain Link Fence Manufacturers Institute this morning. The group was engaged and had many questions regarding the Section 232 tariffs. I was followed by Dr. Lynn Reaser, the Chief Economist for the Fermonian Business & Economic Institute. She works specifically with the CLFMI and she […]
Lewis Leibowitz, trade attorney and contributor to Steel Market Update, offers the following commentary on the latest developments in Washington: Following is a quick update on the new Section 301 China tariffs, which went into effect on July 6. China implemented its own 25 percent tariffs on a variety of U.S. exports to China. Soybean […]
The World Trade Organization is keeping busy fielding complaints from countries concerned about U.S. trade policies. So far seven countries have filed requests to the WTO for consultation with the U.S. on Section 232 tariffs on steel and aluminum. Russia was the latest to file a complaint, charging that the Section 232 measures violate WTO […]
Switzerland has added its name to the list of countries seeking World Trade Organization consultation with the United States regarding Section 232 tariffs on steel and aluminum products. The Swiss State Secretariat for Economic Affairs (SECO) initiated a dispute settlement procedure with the WTO today, July 10. Although Switzerland does not have a large metal […]
Are imports of motor vehicles and auto parts a threat to the security of the United States? More than three out of four respondents to last week’s Steel Market Update market trends questionnaire say no. Citing the same argument that it used to justify the tariffs on steel and aluminum under Section 232 of the […]
Flat rolled steel imports into the United States continue to decline. The three-month moving average (3MMA) for rolled product imports into the U.S. year over year was down by 11.3 percent as of June, according to Steel Market Update’s latest analysis of Commerce Department license data. This is an early look at June’s import volume […]
The data from Steel Market Update’s latest market trends questionnaire shows mixed feelings when it comes to Current vs. Future Sentiment. The SMU Steel Buyers Sentiment Index measures how buyers and sellers of flat rolled and plate steels feel about their companies’ ability to be successful both now (Current) and three to six months into […]
Steel executives canvassed by Steel Market Update this week reported that demand remains strong, though they are less confident about conditions later in the year. Many expressed concern about the tariffs and trade issues unfolding in Washington, difficulty with trucking and logistics, and the impact of high steel prices on their customers. Following are some […]
Detroit automakers reported higher sales in June as buyer enthusiasm for SUVs and pickup trucks continued. Ford sales for the month increased 1.2 percent year-over-year to 230,635 vehicles on purchases of SUVs and F-series trucks. Fiat Chrysler sales jumped 8 percent to 202,264 vehicles in June and General Motors, no longer reporting monthly sales, said […]
Manufacturers saw business rise in June at the fastest pace in four months. The ISM Manufacturing Index surpassed expectations by jumping to 60.1 percent from 58.7 percent in May. A reading above 50 indicates growth. New orders expanded for the 14th consecutive month, but inventories remained too low for a fourth month as suppliers struggled […]
Canada’s retaliatory tariffs will go into effect on July 1 in response to U.S. tariffs on steel and aluminum, said Foreign Minister Chrystia Freeland on Friday. The tariffs on $12.6 billion of U.S. goods are equivalent to the value of steel and aluminum products hit by the Section 232 tariffs. Freeland, accompanied by Industry Minister […]
On Monday and part of Tuesday of this week, SMU President & CEO John Packard attended a number of meetings in New York City. The first meeting was the CRU Steel Briefing where the CRU Group provided insights and forecasts regarding steel, scrap, Section 232 and other topics of interest. SMU hosted the Bank of […]
The Corker amendment to require congressional approval of Section 232 tariffs by the administration has been denied a vote in the Senate despite receiving unanimous consent. Sen. Sherrod Brown (D-OH), a strong supporter of the U.S. steel industry and the Section 232 tariffs, blocked the Senate vote arguing that adding the amendment to a new […]
ArcelorMittal Dofasco CEO Sean Donnelly told Ottawa lawmakers that U.S. tariffs may force the company to lay off 1,000 workers and reconsider investments totaling $564 million. During testimony at a special meeting of the House International Trade Committee, Donnelly and other steel manufacturers asked the government to hold firm on retaliatory tariffs against the United […]
The American Institute for International Steel and two companies have challenged the constitutionality of Section 232 of the Trade Expansion Act of 1962. AIIS, along with Sim-Tex, LP, and Kurt Orban Partners, LLC, have filed a lawsuit in the U.S. Court of International Trade in New York City alleging that the statute violates the constitutional […]
Lewis Leibowitz, trade attorney and contributor to Steel Market Update, offers the following commentary on the latest developments in Washington: The year is now half over. The second half of the year will be even more interesting than the first. Here are the latest developments: Canada’s tariffs went into effect today, July 1. Tariffs of […]
Support is growing in the Senate to block President Trump’s use of Section 232 tariffs that have alienated the U.S. from its allies and the world, claims Sen. Bob Corker (R-TN). Corker has proposed a bill that would curtail Trump’s trade authority by requiring congressional approval for the imposition of tariffs for national security purposes. […]
Section 232 steel and aluminum tariffs are causing collateral damage in the case of one high profile White House-favored manufacturer. Harley-Davidson announced Monday that because of EU tariffs in response to U.S.-imposed steel and aluminum tariffs, the company will shift production of motorcycles for EU destinations from the United States to international facilities. EU tariffs […]
Sixty-three percent of respondents to this week’s Steel Market Update market trends questionnaire expect steel supplies to tighten and prices to rise even further now that the Trump administration has revoked the exclusions and imposed Section 232 tariffs on steel imported from Canada, Mexico and the EU nations. The 25 percent tariffs took effect June […]
Turkey imposed retaliatory tariffs Thursday on $1.8 billion of U.S. goods in response to Section 232 tariffs on steel and aluminum. “Turkey is committed to active, robust and reciprocal trade relations with the US — but with the understanding that fairness cannot be one-sided,” Economy Minister Nihat Zeybekci said in a statement. “We cannot and […]
In testimony before a skeptical and sometimes combative group of senators Wednesday, Commerce Secretary Wilbur Ross did his best to defend the Section 232 tariffs on steel and aluminum and the controversial trade policies of the Trump administration. Despite his assurances that the process of reviewing product exclusion requests is on track, members of the […]
Lewis Leibowitz, trade attorney and contributor to Steel Market Update, offers the following commentary on the latest developments in Washington: On Wednesday, during a Senate hearing on the Section 232 tariffs, Commerce Secretary Wilbur Ross offered some additional information on the volume of product exclusion requests he has received. As of June 20, there were […]
The Commerce Department’s procedure for filing requests to have products excluded from the Section 232 steel tariffs has been called confusing and burdensome by many companies, some of which have been thwarted in their attempts to file. Applications can be rejected for something as simple as an inaccurate Harmonized Tariff Schedule (HTS) code. In testimony […]
Major pipeline producers are seeking tariff exclusions for imported pipe used in pipeline projects currently in progress. Of the estimated 21,000 exclusion requests submitted to Commerce, more than 500 requests are for pipe and other energy-related materials. A report released June 18 by the Interstate Natural Gas Association of America (INGAA) estimates 41,000 miles of […]
The European Commission announced that $3.2 billion in tariffs (€2.8 billion) on imports from the United States will go into effect on Friday, June 22. The “rebalancing measures” include steel and aluminum, agricultural goods and various other products and will remain in effect for as long as the U.S. tariffs on steel aluminum are in […]
Commercial Metals Company net sales jumped 15 percent to $1.2 billion for earnings of $42.3 million for the third quarter of fiscal year 2018, ending May 31. Earnings and sales increased from the second quarter due to strong demand across all of CMC segments. “The CMC team delivered outstanding results in our third fiscal quarter,” […]
The Port of New Orleans is one of the top three U.S. ports for steel imports, taking in 2.48 million tons of steel in 2017. Steel imports represented 80 percent of the port’s breakbulk tonnage and 30 percent of its total cargo tonnage. Turkey was the largest importer of steel at the Port NOLA last […]