Business & Tech

Possible Tariff On Imported Steel, Lorain's Kaptur Celebrates

She called the possible tariff a "much-needed action against a rigged global steel market."

LORAIN, OH — President Donald Trump announced this week that he wants to impose a 25-percent tariff on imported steel. Representative Marcy Kaptur, a Democrat from Lorain, cautiously celebrated the announcement, the culmination of months of lobbying for action.

“Steelmaking communities are being whipsawed by unfair global trade and illegal dumping of steel by foreign nations such as China and Russia,” said Kaptur in an emailed statement. “Though we have yet to see specific details, we are hopeful today’s announcement will put an end to a long series of delays to much-needed action against a rigged global steel market. Our steelmaking businesses and workers need relief so they can compete on a fair playing ground.”

Steel dumping is when a nation sells steel in a foreign market at a price that is lower than what it is selling the same product in its home market. That means, for example, a country like China would sell steel more cheaply in the U.S., to U.S. companies, than it would to domestic Chinese companies. The practice can damage American companies that can't compete with the low prices.

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Kaptur has spent about a year pressuring the Trump administration to take some kind of action to protect American steel communities, like Lorain, against steel dumping. She testified at a Commerce Department hearing in late May 2017, arguing that American workers and businesses were being exploited by foreign competitors. She was the only congressperson to testify.

During that hearing, Commerce Secretary Wilbur Ross said a report on steel dumping by foreign nations and businesses would be released in June 2017. That report, however, was delayed.

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By August 2017, Kaptur was writing a public letter to Ross, urging him to stop the delays and release the report. Ohio's two senators, Rob Portman, Republican, and Sherrod Brown, Democrat, even invited Ross to come visit Lorain. He didn't take them up on their offer.

In February 2018, the Commerce Department finally released the report. Lorain is mentioned several times throughout the document. The report recommended tariffs and quotas be set against Russia, China, South Korea and Vietnam for steel dumping.

The report prompted action by the president, with Trump announcing that he wanted 25-percent tariffs leveled against nations suspected of steel dumping.

Read the long-awaited report by clicking here.

Photo from Shutterstock

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