Tags: president donald trump | steel | tariffs | steel mill reopening

Trump Applauds Steel Industry Investments; Mill Reopening Following Tariff Hikes

Trump Applauds Steel Industry Investments; Mill Reopening Following Tariff Hikes

(Christian Lagereek/Dreamstime)

By    |   Saturday, 23 June 2018 03:42 PM

President Donald Trump early Saturday applauded investments being made in the United States steel industry, following the announcement that an India-based company plans to invest millions in a closed Ohio steel mill after his moves on tariffs on imported steel and on tax reform.

"Steel is coming back fast!" Trump tweeted. "U.S. Steel is adding great capacity also. So are others."

The president provided a link to a Fox Business story about plans made from JSW Steel USA, which plans to invest $500 million to build a new factory in the U.S., along with modernizing the former Acero Junction plant in Mingo Junction, Ohio. The facility had been owned and operated for decades by Wheeling-Pittsburgh Steel Corp.

"The Trump administration was the driver behind giving us in the U.S. the ability to compete for capital," JSW Steel USA CEO John Hritz told Fox Business.

JSW Steel is buying the defunct arc furnace and rolling mill for $80.9 million, and plans to invest more than $500 million in the steel plant, which was built in 1929, rather than opening a new facility in India.

The project is expected to create at least 300 permanent jobs in the Jefferson County, Ohio, location, sparking new life in an area hit hard when the mill closed its doors.

"We are going to revitalize that facility and that entire community," Hritz said.

Hritz said that JSW Steel USA has demonstrated that the return on its investment will be "outstanding," and the work done by Trump and Commerce Secretary Wilbur Ross to stop illegal steel dumping is creating a fair playing field.

JSW also announced in March that it will invest another $500 million in its existing plant in Baytown, Texas. Hritz said at that time that the company has 500 people on site currently and plans to hire 500 new employees to perform high-tech jobs.

Mingo Junction Mayor Ed Fithen Friday cheered the news, saying people in his village of about 3,500 are excited and looking forward to returning to the prosperity the community enjoyed in the past.

"It's great," Fithen told The Herald Star, a newspaper located in nearby Steubenville, Ohio, during a public meeting held Friday in the village. "It's a good mill. I worked there for 35 years. You go out on the streets and the past two days it is all anybody talks about."

The newspaper reported that JSW will initially spend $250 million restarting the electric arc furnace and refurbishing the hot strip mill and slab caster.

"I hope they do something and it takes over, brings things back,"  Mingo Junction resident Tom Strohmeyer told The Herald Star. “Over half the businesses are gone. No grocery stores, not even a gas station. We have nothing here anymore."

State Sen. Frank Hoagland, R-Mingo Junction, also applauded the announcement, saying it "means more jobs, more economic development and more opportunity for Southeast Ohio. We are seeing firsthand the impact the Trump administration, combined with the Ohio Senate's policies reducing regulatory red tape, are having on our state's manufacturing jobs."

However, the growing trade war and tariffs are harming several companies already operating in the nation, The New York Times reported Friday, quoting companies that complain Trump's steel tariffs are disrupting domestic supply chains and resulting in retaliation from global trading partners against American products, including peanut butter and whiskey.

Trump further sparked the trade wars on Friday, when he threatened through a tweet to put a 20 percent tariff on European car imports, if the European Union did not lift its automobile tariffs.

George Skarich, the vice president of sales for the Missouri-based Mid Continent Nail Corporation, told The Times he'd voted for Trump, but he feared the growing trade wars will put his company out of business.

Mid Continent, as the largest U.S. producer of nails, uses imported Mexican steel, which is now subject to the 25 percent Trump tariffs. That has forced the company to raise prices by nearly 20 percent,  and orders have dropped by 50 percent this month alone. The company has cut 60 jobs from its 500-person workforce, and could cut 200 more in coming weeks.

© 2019 Newsmax. All rights reserved.

   
1Like our page
2Share
Newsfront
President Donald Trump early Saturday applauded investments being made in the United States steel industry, following the announcement that an India-based company plans to invest millions in a closed Ohio steel mill after his moves on tariffs on imported steel and on tax...
president donald trump, steel, tariffs, steel mill reopening
691
2018-42-23
Saturday, 23 June 2018 03:42 PM
Newsmax Media, Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
America's News Page
© Newsmax Media, Inc.
All Rights Reserved