US steel and labor associations have urged President Joseph R. Biden to maintain steel tariffs established Under Section 232 in 2018.
In a letter to the US President on Wednesday, various steel and labor associations, including the American Iron and Steel Institute (AISI) and the United Steelworkers Union (USW), asked him to maintain the previously established steel tariffs, citing that the elimination of tariffs would increase supply in light of rising prices and long lead times.
The letter stated that the lack of the tariffs would also undermine the industry’s viability especially if like many businesses, the steel sector could face unpredictable shifts in customer demand and logistical difficulties relating to the COVID-19 pandemic.
Moreover, the letter points to the steel industry’s favourable environmental footprint which aids in the nation’s climate goals. The associations also noted that the industry is responding to market signals and production has increased by more than 50pc in the last year and employment by almost 3,000 people since September.
They added that since the tariffs took effect American steel producers have announced plans to invest more than $15.7 bn in new or upgraded facilities that are now beginning to bear fruit in the form of permanent steel jobs and economic activity.