U.S. Tariffs May Add 19,000 Steel and Aluminum Jobs, Study Says

U.S. Tariffs May Add 19,000 Steel and Aluminum Jobs, Study Says

© Bloomberg. Rolls of sheet aluminum stand on pallets in a storage area ahead of shipping at the Impol Seval AD plant in Sevojno, Serbia, on Wednesday, Oct. 9, 2013. The London Metal Exchange's plan to ease congestion at warehouses storing near-record amounts of aluminum will accelerate deliveries and reduce premiums paid for supply, at a time when prices are already near a four-year low.© Bloomberg. Rolls of sheet aluminum stand on pallets in a storage area ahead of shipping at the Impol Seval AD plant in Sevojno, Serbia, on Wednesday, Oct. 9, 2013. The London Metal Exchange’s plan to ease congestion at warehouses storing near-record amounts of aluminum will accelerate deliveries and reduce premiums paid for supply, at a time when prices are already near a four-year low.

(Bloomberg) — U.S. tariffs on aluminum and steel imports will add thousands of jobs at domestic producers, offsetting labor losses in other industries, while economic growth will slow by a tiny percentage, according to the Coalition for a Prosperous America.

The study is from the nonprofit organization, which has supported the U.S. administration’s skepticism toward free trade. The group estimates President Donald Trump’s 25 percent tariff on steel imports and 10 percent tariffs on aluminum will add about 19,000 jobs, making job losses downstream and in other parts of the economy negligible. The impact would hit the economy by $1.4 billion, or 8/1000th of 1 percent of U.S. gross domestic product, the organization said.

“The tiny tiny decline in GDP is a result of these tariffs in the medium term,” Jeff Ferry, research director for the Coalition for a Prosperous America, said in a telephone interview. “In the longer term, I would anticipate that the effect of tariffs are positive because a longer-run analysis shows what happens to steel and aluminum industries as a result: additional production, revenue, hiring and investment.”

The study comes as many forecasts say the controversial import tariffs would largely hurt downstream sectors of the economy that use raw steel and aluminum to make consumer products such as automobiles and beverage cans. Harbor Intelligence said on March 1 that Trump’s aluminum tariffs would boost production jobs by about 1,900, but 23,000 to 90,000 U.S. manufacturing job will be lost.

Disclaimer:
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published.