Yet Another Sign Tariffs Are Working

Cathalijne Adams

Cathalijne Adams Researcher, AAM

The United States produces a lot of aluminum scrap each year – the most in the world, actually. But, thanks to Chinese tariffs on American aluminum imports, most of that scrap has had nowhere to go (China is a huge aluminum scrap market.). Thus, it‘s now fulfilling considerable domestic demand for aluminum, which means most aluminum products purchased in the States in 2018 weren’t made anew but composed of recycled metal.

With that said, America's own Section 232 tariffs on aluminum are having their desired effect: more aluminum production in the United States.

The Wall Street Journal reports:

"The Trump administration’s tariffs on foreign aluminum drove imports of the metal down 20% last year, Harbor Aluminum says, while domestic production rose 20%. Pushing up U.S. aluminum production was the tariff’s intent."

A December 2018 study from the Economic Policy Institute (EPI) corroborates this growth, evidencing a projected 67 percent increase of U.S. primary aluminum production between 2017 and 2018. EPI also cites several smelters that have been restarted or expanded and will create over 1,000 new jobs.

But the tariff benefits are shared by downstream aluminum industries as well with 22 projects to open new facilities or expand existing ones announced since the Section 232 tariffs were publicized, according to EPI.

All this data goes to show that the American aluminum and steel industries on their way to recovering from decades of the destabilizing overcapacity that drove a glut of imports into our nation. Clearly, tariffs continue to do their work.

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Reposted from AAM

Posted In: Allied Approaches, From Alliance for American Manufacturing

Union Matters

He Gets the Bucks, We Get All the Deadly Bangs

Sam Pizzigati

Sam Pizzigati Editor, Too Much online magazine

National Rifle Association chief Wayne LaPierre has had better weeks. First came the horrific early August slaughters in California, Texas, and Ohio that left dozens dead, murders that elevated public pressure on the NRA’s hardline against even the mildest of moves against gun violence. Then came revelations that LaPierre — whose labors on behalf of the nonprofit NRA have made him a millionaire many times over — last year planned to have his gun lobby group bankroll a 10,000-square-foot luxury manse near Dallas for his personal use. In response, LaPierre had his flacks charge that the NRA’s former ad agency had done the scheming to buy the mansion. The ad agency called that assertion “patently false” and related that LaPierre had sought the agency’s involvement in the scheme, a request the agency rejected. The mansion scandal, notes the Washington Post, comes as the NRA is already “contending with the fallout from allegations of lavish spending by top executives.”

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Corruption Coordinates

Corruption Coordinates