United States, Wall Street Journal, Reporter discussed on This Morning with Gordon Deal
US steel producers, which prevailed in their push for the Trump administration to impose tariffs on imported steel and aluminum have also proved equally effective and far more effective than any other industries that avoiding tariffs they don't want. It's a story from Wall Street Journal economics reporter, Josh Zumra. Josh what have you found what happened in the most recent round carrots is heat of the United States is focused a little date and his name to China and the way it works. You gotta understand the way it works to understand that story is that the government publishes a list of all the stuff that we import from China. And it says, you know, we we want to put tariffs on half of this list. Is there anything that we shouldn't include? We couldn't put carrots and to the government puts this out for requests. The trade Representative. Does it industries can kind of write in and say don't put this on don't put that on? You know, we import that. And it turned out we went to look at what products have been taken off this list on the US government actually did it against China. They put two hundred billion dollars can plates earlier that year just last month. And we looked at what industries were asking to get things taken out. It turns out that the mo- one of the most successful of all industries was the steel industry earlier in the year, they were acting for cash to protect them. Now, they're asking for tasks to be taken off the stuff that they wanna bring into the country and really been successful at getting the government to, you know, work with them in both directions. Whether it's adding cast to protect them, or whether it's taking away tariffs that they benefit that they've benefit from their immobile, dollar wise they've necessarily done the best. But it does seem like on a per request basis. The steel industry has done very well and getting certain tariffs. What struck out right? That's the key point. So. They requested about one hundred thirty different products be removed from the list of items to receive care, and they got about a half of their list accepted, which is much more successful than other industries that you kind of look line by line. I mean, there's this whole system where we're different products have their own line. And they can be very specific, you know, they can be as specific medal like like a rare metal like molybdenum or they can be a specific piece of machinery, just the steel industry extra hundred thirty two items. I believe with the number to come up, and they got them. Now, there's other industries that ask for a lot more items like retail, the national retail federation, actor, I think we sat over a thousand items to be removed, and they only got you know, small handful three percent or four percent or something like that taken off. But some of the items they got taken off we're pretty big ticket items. So one of the samples is a lot of apple products. You know, the stuff that goes into apple watch. And some of the stuff that goes. Into iphones taken off the list. And so that's only one or two items, but they're huge in volume appeared to some of these things that steel industry question molybdenum, it w errors metal as an example there. You know, it's significant steel industry, but it's not anywhere near as significant import something like an iphone. We're speaking with Wall Street Journal economics reporter jobs, zoom Brin. He's written a story entitled the steel industry gets what it wants on tariffs. So back to that initial point then why has the steel industry done? So well here, you know, I think the conclusion that a lot of people are kind of worried about it today. There's an element of. Play that when the government get so involved in policy like this where they're picking individual products individual industries to keep penalized or to protect inevitably the case that the government is picking winners and losers me. No, this is traditionally something that Republicans didn't like Republicans. Traditionally have not wanted to government to pick winners and losers. But obviously, this is a Republican administration carrying out this strategy and kind of introduced an interesting tension. A lot of the people who are kind of traditional Republicans on trade policy. I really unhappy with this really dramatic shift in what their party does on trade. And you know, the steel industry is one that the commerce secretary Wilbur Ross is very involved in as an investor before he came into the government, the head of the US trade representative's office. Robert lighthizer was a attorney representing the Steelers. History. They were one of his big clients for are very large number of years. And so there's a feeling that you know, because the government has gone so involved in picking winners and losers on trade that the tide that these people had industry have made them a little bit more sympathetic to their requests. Josh Wall Street Journal economics reporter, Josh zoom. Brin? It is twenty minutes now in front of.