The Biden administration has announced a series of important actions to safeguard the American steel industry and create well-paid jobs.
During a call with reporters, a senior administration official described President Biden’s strategy for protecting the steel industry as strategic, balanced, and targeted. It has been developed in close collaboration with industry stakeholders and unions who have directly experienced the impacts of China’s unfair trade practices for years. It is also an approach where they are working with partners and allies, who are also feeling the effects of China’s overcapacity and artificially low-priced exports. President Biden has made it clear that his vision for the future includes taking care of American workers and communities. And today he continues to fulfill that promise.
Here Are The Steps That Biden Is Taking:
According to a White House fact sheet:
In response to China’s unfair practices, today the Biden-Harris Administration is taking new,
important actions to support American steel manufacturing and shipbuilding.
• President Biden is urging the USTR to consider tripling the existing 301 tariff rate on Chinese steel and aluminum. The current average tariff on steel and aluminum is 7.5% under Section 301. American workers continue to face unfair competition from Chinese imports of steel and aluminum products, which are among the world’s most emissions-intensive. Chinese policies and subsidies for their domestic steel and aluminum industries means high-quality U.S. products are undercut by artificially low-priced Chinese alternatives produced with higher emissions.
To the extent consistent with the United States Trade Representative’s (USTR) review of Section 301 tariffs and findings of her investigation, President Biden is calling for USTR to consider enhancing the effectiveness of tariffs on Chinese steel and aluminum products by tripling them.
• President Biden’s Department of Commerce is taking action against countries and importers that do not play by the rules and flood the market with inexpensive products. Since President Biden took office, the Department of Commerce has imposed over 30 anti-dumping and countervailing duties on steel-related products. These are tariffs on steel imports that are priced below the fair and competitive value. The Department of Commerce has also conducted nearly 27 investigations into anti-competitive actions by Chinese exporters and efforts by countries like China to evade trade rules.
• President Biden is directing his senior team to work with Mexico to prevent China’s evasion of tariffs on steel and aluminum that is imported from Mexico into the United States. This is a growing challenge that must be addressed to prevent Chinese steel exports from gaining access to the U.S. market under USMCA tariff rates.
• The United States Trade Representative is initiating an investigation into China’s unfair trade practices in shipbuilding, maritime and logistics sectors. This investigation follows a petition filed by the United Steelworkers (USW) and four other unions who claim the Government of China’s drive to dominate the global shipbuilding, maritime, and logistics sector is built on non-market policies that are far more aggressive and interventionist than any other country. President Biden believes it is critical to understand China’s uniquely aggressive set of interventions in these sectors, and to take actions that address distortions to the global market for commercial vessels, maritime shipping, and logistics that harm American workers and shipbuilders.
• President Biden is dedicated to keeping American steel companies strong with American steelworkers. He wants U.S. Steel to remain an American steel company that is owned and operated domestically, and has been an important part of American steel for over 100 years.
• President Biden is putting money into clean American-made steel. He is expanding on the Administration’s commitment to environmentally friendly steel production.
The Biden-Harris Administration has announced up to $1.5 billion for six clean iron and steel projects as part of a broader investment to lower emissions from energy-intensive industries. These projects will show new technologies that can remove most emissions from steelmaking and help the industry move away from traditional carbon-intensive methods. The goal is to support steel communities in Pennsylvania, Ohio, and the South and Midwest, so the U.S. steel industry can stay competitive as a global leader in low-carbon iron and steel products.
These investments include up to $75 million for the only high-silicon grain oriented electrical steel plant in the U.S. in Lyndora, Pennsylvania, which is supporting over 1,000 United Autoworker jobs at the Cleveland-Cliffs Butler Works plant. There is also up to $500 million for the Cleveland-Cliffs plant in Middletown, Ohio, to produce clean steel for the auto supply chain.
Biden is doing what Trump campaigned on doing.
President Biden is prioritizing American workers and American steel. He knows that the US economy needs to focus on manufacturing in order to maintain its position as the most dominant economy in the world.
Joe Biden knows that a strong workforce with good jobs and wages leads to a strong economy.
While Trump wants to protect billionaires, Biden is looking out for American workers.
