Trump Tariffs Impacts: US domestic steel factories to bounce back, other industries may lose workers
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Not surprisingly, the tariffs are welcomed by domestic steel makers. American steel factories are already getting former employees back to work after several years of anemic business activities. Let's head over to the Granite City in Illinois to take a look.
Optimism has once again returned to Granite City. This Southern Illinois city prospered thanks to a thriving steel industry. But in 2015, the United States Steel Corp decided to idle their operation here. Last week, the company announced it would reopen one of their two blast furnaces as well as the plant's steelmaking facilities. It follows a decision by the Trump administration to impose tariffs on steel and aluminium imports. For Granite City, it means 500 workers will get back to work.
DAN SIMMONS GRANITE CITY UNITED STEELWORKERS PRESIDENT "Ecstatic is probably the best way to describe it. We have been through some ups and downs, but they have never lasted anything like this. You can't find other work around here that replaces this job."
The local steelworkers union has been busy helping efforts to track down former workers. They must first pass a medical. Alan Canjura is in the first wave of returnees.
ALAN CANJURA GRANITE CITY STEELWORKER "We are all one big family when we work together. Everybody watches out for everybody. When something like that happens, it hurts a lot of people. It hurts the city, hurts the town, hurts surrounding areas."
Michael DeBruce is the owner of nearby restaurant Park Grill. His revenue dropped twenty-five percent over the last two years. He says it was a desperate time for local businesses.
MICHAEL DEBRUCE PARK GRILL "The uncertainty of it was the worst part as you didn't know if it was going to be a couple of months, six months and for some guys it went for two and a half years. It's hard to walk away from somewhere where you've been for twenty-five years to go and start over somewhere else."
Granite City's gain, though, could be bad news for others. Critics say the tariffs will raise the price of metals that will, in turn, impact metal using manufacturers and will ultimately cost jobs in other industries. A study by Trade Partnership Worldwide found similar tariffs imposed by former President George W. Bush caused 200,000 job losses.
DAN WILLIAMS GRANITE CITY "The focus for many of the locals now is on continuing to undertake the various processes in order to return to work. But, there is a hope here that this is just the start, that if the tariffs stay in place then more jobs and job security will follow."
DAN SIMMONS GRANITE CITY UNITED STEELWORKERS PRESIDENT "I see protectionism where we never had it before. So where we used to have the cyclical cycles of up and down, we are hoping we won't have that. If you give us a level playing field, we can compete with everyone."
It may be premature to say that the good times have returned to Granite City. But for steelworkers and small business owners here, there is renewed hope. Dan Williams, CGTN, Granite City Illinois.