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Title: Trump's Tariffs Will Crush the Beer Industry
Source:
Reason
URL Source: http://reason.com/blog/2018/03/02/t ... riffs-will-crush-beer-industry
Published: Mar 2, 2018
Author: Eric Boehm
Post Date: 2018-03-05 05:06:36 by Deckard
Keywords: None
Views: 3968
Comments: 62
Donald Trump's plan to slap a 10 percent tariff on all aluminum imports has beer makers belching their outrage. "President Trump's announcement today that he plans to impose a 10% tariff on aluminum imports will increase the cost of aluminum in the United States and endanger American jobs in the beer industry and throughout the supply chain," says Jim McGreevey, president and CEO of the Beer Institute, a trade association. McGreevy called the proposed aluminum tariff "a new $347.7 million tax on America's beverage industry" and warned that imposing those added costs could trigger more than 20,000 in job losses. "American workers and American consumers will suffer as a result of this misguided tariff," said Molson Coors, the Colorado-based macrobrewery that's one of the biggest beer makers in the world, in a statement. According to the U.S. International Trade Commission's Harmonized Tariff Schedule, most aluminum products currently have tariffs set between 2 percent and 4 percent. Breweries stand to be particularly hard hit by the proposed tariffs, but they are hardly the only losers. Everything produced with aluminum will become more expensive if the White House goes ahead with its protectionist plan. Manufacturers who use steel will be hit even harder if Trump decides to impose the 25 percent tariff on all imported steel that he is reportedly mulling. Our Steel and Aluminum industries (and many others) have been decimated by decades of unfair trade and bad policy with countries from around the world. We must not let our country, companies and workers be taken advantage of any longer. We want free, fair and SMART TRADE! — Donald J. Trump (@realDonaldTrump) March 1, 2018 Beyond Trump's nationalist nonsense, the closest thing to an actual rationale for tariffs that the administration has been able to produce is a claim that relying too heavily on imported aluminum and steel is a threat to national security. The United States needs aluminum and steel to make rockets, bombs, and other weapons of war. If the global supply of those commodities were somehow restricted, the argument goes, then it would weaken America's ability to defend itself. That entire line of argument falls apart under even the slightest scrutiny. For example, the largest exporter of aluminum into the United States is Canada, a nation that also happens to be one of America's closest allies. Any scenario where Canada restricts aluminum exports to weaken U.S. national security is a future where Washington has far, far bigger problems than aluminum imports. Meanwhile, the negative consequences of the tariffs are not hypothetical. In January, the Trump administration imposed new tariffs on imported washing machines. (With this, at least, thy spared us the facade of claiming that cheaper, foreign-made washing machines threaten national security.) Prices immediately increased. The same thing will happen with aluminum and steel, except the effects will be felt throughout a much wider swath of the economy. American workers will lose jobs. American consumers will pay higher prices. Beer will become more expensive. But at least we'll be secure against the threat of a war with Canada. And they'll make lots of other things more expensive too.
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#1. To: Deckard (#0)
How to shoot yourself in the foot and he didn't even need a GUN,just his BIG MOUTH
You're an idiot globalist. If we have no steel and aluminum indusstry then we will be at the mercy of other countries in time of war. Deckard if you agree with this idiot who wrote this article, it would make you a globalist aligned with Obama.
We need to and will be slapping tariffs on Australian goods soon. You charge us ten percent on average. You get a free ride. America first second third... Australia doesn't even rank. It's a little defenseless island. A beautiful place I'm sure.
I just read in the New York times that a beer association says it costs about 10 cents per aluminum can. A ten percent tariff would raise the price 1 cent per can. So a twelve pack price would go up 12 cents. We sure shot our self in the foot. Are you Aussies really so poor that 12 cents on a 12 pack would be shooting yourself in the foot?
America first second third... Australia doesn't even rank. It's a little defenseless island. A beautiful place I'm sure. we have a free trade agreement with the US, something Trump would love to overturn but he fails to realise the US benefits more that we do, we would love to see less of the US sourced TV adds, or american football, which is absolutely irrelevant and incomprehensible to us. you can't play football in armor You say we don't rank but we just might go elsewhere for those fighters and buy something better. If we are defenceless it is because we buy american military crap and help keep your industries going, more than could be said of you by the way, we rank 12th in the world economically and out punch many more populous economies. If we were your size pound for pound we would be the largest economy in the world. Don't worry though we own some of those steel mills Dump is protecting I wonder what you would do without our defence industries and innovations like wifi
Way I hear it that is a $360 million tax on beer drinkers, so you got a tax break and now you give it back, every can, every auto, every plane, every building. This isn't voodoo economics, it's do do economics and you are right in it
Your people come over here and beg for mercy from Donald the Great. But Donald is putting America first. That means more steel jobs in the USA and less in Australia. Sorry about your luck.
And we have more steel jobs. People who pay more taxes. You can cry and whine about it but my side still wins. I don't drink beer. Except on rare occasions.
You're not to bright sometimes. If you drink a 12 pack of beer 365 days a year. It would cost you $43.80. How is that giving back the tax break? That is like a day or a weeks tax break. Is that some kind of Australian math?
U.S. industries are being decimated by dumping of cheap steel by China and others. It is time to put a stop to this. After the “do nothing policies” of the past administration, Trump has decided to impose tariffs 25% on all steel imports and 10% on aluminum imports. These trade remedies for steel and aluminum are long overdue. Now that these actions are being taken, other nations will have the incentive to work with the United States to develop coordinated responses to unfair trade in these products. This is the beginning of efforts to develop coordinated global responses to the problems of excess capacity and unfair trade in steel and aluminum products....finally. You go, Donald!!!
Woh, LF is having its own trade war. Now we just need to hear more from Poland and Belize. The LF globalists are furious.
Yeah - like war with Canada, the largest exporter of aluminum into the United States. I am not a beer drinker, I drink Ky Bourbon. I do know a number of people that do drink beer. Believe me, adding 12 cents to a 12 pack, or 24 cents to a case is not going to slow them down. They will be just like cigarette smokers when wholesale / retail prices went up. They will keep buying / consuming. Other products may be different, but in the beer market, it will be a non event. Si vis pacem, para bellum Rebellion to tyrants is obedience to God. Never Pick A Fight With An Old Man He Will Just Shoot You He Can't Afford To Get Hurt "If there are no dogs in Heaven, then when I die I want to go where they went." (Will Rogers)
Yeah - like war with Canada, the largest exporter of aluminum into the United States. Pooh-pooh – Canada and other foreign suppliers are flooding the U.S. aluminum market ....this needs to be stopped, and Donald Trump is stopping it. Michael Bless is chief executive of Century Aluminum, America's second-largest aluminum producer. Last week he called the manager of the company's plant in the Netherlands and asked him to go down to the docks and check out the scene. The employee called Bless back to say European aluminum — not made by Century — was everywhere. It was piled in warehouses and getting loaded onto boats. It's impossible to know exactly where that metal is headed, but there's a high likelihood it's bound for the United States. Aluminum imports hit an all-time high last year after President Trump repeatedly threatened to put tariffs on aluminum and companies rushed to get foreign metals into the United States. In anticipation of the restrictions, there has been a similar import frenzy to kick off 2018. Aluminum shipments from the European Union to the United States are up 24 percent from the start of the year through last week, according to Panjiva, a company that tracks global trade data and was recently acquired by S&P Global. “Our sources tell us there's at least half a million tons between big European and Asian ports being loaded onto ships. That metal will be in the U.S. in two weeks' time,” Bless said. America imports 90 percent of the aluminum that U.S. companies use to make products as diverse as beer cans and fighter jets. Trump is hungry to change that by reviving the domestic aluminum industry. He says it's a matter of national security, a rarely used argument. The last time the United States restrained imports because of national defense concerns was on machine tools in 1983. “The U.S. says this is about national security. That exception has never been invoked since the World Trade Organization came into existence in 1995,” said Jennifer Hillman, a Georgetown law professor and former member of the WTO's Appellate Body. “This is uncharted waters.” The Trump administration argues there have been rapid changes in the aluminum industry in recent years as China began producing the metal and selling it on the world market at prices with which U.S. companies have struggled to compete. The United States has gone from having 23 operational aluminum smelters in 1993 to five now, according to the U.S. Geological Survey. Only one of the remaining smelters — the Century Aluminum plant in Hawesville, Ky. — makes the high-purity aluminum needed for fighter jets, according to a Commerce Department report urging Trump to take action. If that plant shutters, the United States would have to rely on factories overseas. Only the United Arab Emirates and China produce what's needed for the military, although Canadian smelters might be able to shift production to do it, as well. “You see what's happened with our steel and aluminum industries. They're being decimated by dumping from many countries,” Trump said in February. “They're dumping and destroying our industry and destroying the families of workers. And we can't let that happen.” The president argues it's worth paying a tad more for your beer or car if it means an American can keep a good-paying job in a metal factory. Bless has told the Trump administration that he'll hire 300 workers in union jobs at Hawesville, Ky., plant as soon as Trump makes the tariff announcement. Those jobs would pay about $60,000 a year plus benefits. “People are hopeful the jobs come back. These are good jobs,” said Andy Meserve, a longtime maintenance worker at the Hawesville plant and president of United Steelworkers Local 9423. “Trump did pretty good in Kentucky.” The Hawesville plant is running at about 40 percent capacity. Century Aluminum laid off hundreds of workers there three years ago when global metal prices plummeted. Prices have since rebounded, but the company says it would have to make an “enormous investment” to get back to full production levels and it won't do that unless Trump restricts imports. But industries that use aluminum say there's an ugly trade-off: Manufacturing jobs in the auto and aerospace industries might go away if the cost of aluminum rises too much. The aluminum smelting jobs that Trump wants to save account for 3 percent of the total aluminum industry jobs in the United States, according to the Aluminum Association. The other 97 percent of jobs (about 156,000) are in downstream industries that take the raw metal and make something new with it. Jobs are central to the fierce debate in White House over what to do about steel and aluminum. Opponents of sweeping tariffs argue that such action would backfire by hurting employment in other industries, especially if nations retaliate and put tariffs on U.S. agriculture or airplanes. There's a lobbying frenzy, including from GOP lawmakers, to get Trump not to impose the tariff or, at a minimum, to carve out certain types of aluminum and steel. Trump met Tuesday with Republicans in Congress, many of whom voiced concerns about a sweeping tariff and how it could affect jobs and profits in their home states. Rep. Kevin Brady (R-Tex.) said in a statement after the Tuesday meeting, “I’m also committed to working with the president on narrow and targeted remedies that address China’s distortions without hurting other U.S. industries and workers.” The aerospace industry has been one of the most vocal about what could go wrong if Trump imposes a blanket tariff on all aluminum imports. The United States is a top exporter of airplanes and airplane parts. It's one of the key areas in which America runs a trade surplus, but it's also an industry that uses a lot of aluminum. “Anything that is going to disrupt the global supply chain that our industry accesses and potentially raise costs creates a great deal of concern,” said Remy Nathan, vice president of international affairs at the Aerospace Industries Association. He has told the administration to be careful not to “turn around and harm another part of the economy that is critical for economic and national security.” The Department of Defense recently sent a letter arguing that “targeted tariffs are more preferable than a global quota or global tariff.” Canada, a close ally, is the top country the United States imports aluminum from by a wide margin. Russia is No. 2 and China is fourth. Trump talks often about wanting to go after China, but the proposed tariff or quota would harm Canada and Europe, too. “We have urged the president to exclude specialty steel and aluminum imports if he decides to go down the tariff route. If not, it could be extraordinarily burdensome for smaller companies,” said Ann Wilson, senior vice president of government affairs at the Motor & Equipment Manufacturers Association, which represents 1,000 U.S. auto parts suppliers. She says some aluminum products used in cars aren't available in the United States and must be imported, but she argues those imports support more than 870,000 American auto parts jobs since workers modify or assemble those products into larger car parts. The more carve-outs the Trump administration achieves, the more complex it will be to enforce what is allowed through the border. “The government shouldn't be choosing winners and losers in any industry,” said Tim Phillips, president of the Koch-backed Americans for Prosperity, one of many groups lobbying against the tariffs. Trade experts say the national security case for protecting aluminum is stronger than for steel because aluminum imports are so much higher. Only about 30 percent of steel used in the United States comes from overseas, according to the Commerce Department report. For now, the White House continues to deliberate and foreign metal continues to travel on ships to U.S. ports at record rates. Thursday's postponement extends an already long wait for the domestic industry. Aluminum executives thought they would get action last summer. The Commerce Department Section 232 reports on steel and aluminum — known as Section 232 reports after the national defense exemption of the Trade Expansion Act of 1962 — were originally expected to come out in June. Instead, they were delivered to the president in January. “Every week Trump waits, another slog of imports are coming in,” said Hillman, the Georgetown professor.
Well you being a globalist drug pusher. Your position is understandable. Stupid but understandable.
No - you're thinking of the CIA. No I am speaking of you. You post for legal drugs to destroy our youth. You preach globalism with your anti american anti tariff globalist philosophy.
Stop lying. You are way off base here. I've stated my reasons for ending the drug war - your continual bullshit posts insinuating that I want to see kids hooked on drugs make it clear that you are just a knee-jerk, reactionary blowhard. Piss off troll. That may be what you want. Apparently you are to dumb to know that your dream of a drug state would do just that.
Yeah - like war with Canada, the largest exporter of aluminum into the United States. The Trumpkins will be drinking cheap Canadian swill. You hate tariffs because they help American workers. Yes you are a globalist.
Yeah - how's that trillion dollar war on drugs of yours doing keeping kids off drugs? Putz! Putz! It would be going better if we didn't have people like you telling everyone drugs should be legal. Treating marijuana like a miracle drug. You have a serious moral problem with your views on drugs.
There will always be illegal drugs and drug adicts. You cheer them on like it is some kind of noble cause to be a druggy.
Besides the Hawesville, Ky plant, Braidy Industries is planning to build a $1.3-billion aluminum rolling mill plant in Northeast Kentucky www.dailyindependent.com/.../braidy-industries.../article_01b146e0-e5b1-11e7-bc50...
Si vis pacem, para bellum Rebellion to tyrants is obedience to God. Never Pick A Fight With An Old Man He Will Just Shoot You He Can't Afford To Get Hurt "If there are no dogs in Heaven, then when I die I want to go where they went." (Will Rogers)
Based on that bold move and with the country already flooded with aluminum, I cannot help but believe they had some inside information what was coming down the line with Trump. Trump is bringing manufacturing industry back to America. God bless him for doing that. The new aluminum plant works for the betterment of American industry and against Deckard’s strong globalist ideas.
My retirement job might become walking the highways and byways picking up discarded aluminum cans and recycling them. Last time I believe I received 55 cents a pound.
Can't you (at least) get a job flippin' burgers @McKiDees? Maybe we should set a fund raiser for Fred on LF?
Put TLBshow in charge of it. He owes me.
(FRED: "My retirement job might become walking the highways and byways picking up discarded aluminum cans and recycling them. Last time I believe I received 55 cents a pound." Maybe we should set a fund raiser for Fred on LF?" Ok, THAT wuz funny. For starters, I'll kick in a few 2 for 1 Mickey D coupons. (that will take care of both you and War.) According to Recycle USA, 31 empty cans = ONE POUND of empties. How many pounds did you turn in, Fred? GI, what's the usual policy from LE when they see something like that?; People NOT in orange, cleaning the highway of debris independently?
People NOT in orange, cleaning the highway of debris independently? Fred is a free market capitalist who rejects Federal Reserve fiat currency, and measures his wealth in cans. It is you who are not bright, you are speaking of aluminium cans but who drinks a 12 pack a day? only the not so bright. The tariff will feed into the cost of groceries through steel cans, auto's, aircraft, ships, construction and with inflation comes higher interest rates. Basic economics, so we have done the math obviously Dump is incapable of
I've never seen LE bother anyone off the highway unless a complaint is phoned in or the pedestrian is seen on the maintained portion of the roadway. When I worked the road, if I found people walking down the side of any highway, I'd check them for warrants and if there wasn't any file 5's, give them a free ride with the coolest cop they'll ever meet. I'm the infidel... Allah warned you about. كافر المسلح
You'd be better off buying a 4 day pass at Watkins Glenn for the NASCAR race, and pick up .5 cent cans all weekend. The 4 day pass will cost 300.00 but you'll collect 1,500.00 in cans if your work ethic is better than a potato.
I'm the infidel... Allah warned you about. كافر المسلح
Trump's fake "economist" Peter Navarro gets taken to the woodshed by Chris Wallace. "It's the economy, Stupid!" ~Slick Willie, just prior to beating Herbie Bush like a rented mule. America FIRST, shitbag. We've been getting it shoved up our ass with unfair trade for years. Only non Americans and traitors would argue any different. I'm the infidel... Allah warned you about. كافر المسلح
You even post pro drug addict propaganda on a thread dealing with world trade. What an agenda driven hotdog hider you are. I'm the infidel... Allah warned you about. كافر المسلح
Ping to #36. On the other hand, employees of the US Steel industry will be able to buy more beer than they can now. It's quite natural for US companies to complain at any law change that increases their production costs. That's the only thing they will see, and understandably so. But what they won't see on any of their finance charts is that in the bigger picture, promoting job growth in the USA will better enable Americans to buy beer even though it costs a little more. Though any exports of beer, however, won't see that benefit. But exporters are the only ones who have any business complaining. The US Trade deficit has to be addressed, and tariffs are the only way that can happen.
Hey dipwad, I'll work both sides of the highway. You've got the center.
Comments (42 - 62) not displayed.
Top • Page Up • Full Thread • Page Down • Bottom/LatestAmerican workers will lose jobs. American consumers will pay higher prices. Beer will become more expensive. But at least we'll be secure against the threat of a war with Canada.
#2. To: Deckard (#0)
#3. To: paraclete (#1)
How to shoot yourself in the foot and he didn't even need a GUN,just his BIG MOUTH
#4. To: paraclete (#1)
#5. To: A K A Stone (#3)
We need to and will be slapping tariffs on Australian goods soon. You charge us ten percent on average. You get a free ride.
#6. To: A K A Stone (#4)
(Edited)
So a twelve pack price would go up 12 cents.
#7. To: paraclete (#5)
Malcolm Turnbull left Washington DC on Sunday unsure whether Australian steel and aluminium would be exempted from stiff tariffs about to be imposed by President Donald Trump, http://www.afr.com/news/australia-faces-nervous-wait-over-us-steel-tariffs-20180224-h0wlng
#8. To: paraclete (#6)
#9. To: paraclete (#6)
#10. To: Deckard, A K A Stone (#0)
#11. To: A K A Stone (#9)
#12. To: A K A Stone (#2)
If we have no steel and aluminum indusstry then we will be at the mercy of other countries in time of war.
“Truth is treason in the empire of lies.” - Ron Paul
Those who most loudly denounce Fake News are typically those most aggressively disseminating it.
#13. To: A K A Stone (#4)
" A ten percent tariff would raise the price 1 cent per can. So a twelve pack price would go up 12 cents. "
#14. To: Deckard (#12)
If we have no steel and aluminum indusstry then we will be at the mercy of other countries in time of war.
#15. To: Deckard (#12)
#16. To: A K A Stone (#15)
Well you being a globalist drug pusher.
“Truth is treason in the empire of lies.” - Ron Paul
Those who most loudly denounce Fake News are typically those most aggressively disseminating it.
#17. To: Deckard (#16)
#18. To: A K A Stone (#17)
You post for legal drugs to destroy our youth.
“Truth is treason in the empire of lies.” - Ron Paul
Those who most loudly denounce Fake News are typically those most aggressively disseminating it.
#19. To: A K A Stone (#17)
You preach globalism
“Truth is treason in the empire of lies.” - Ron Paul
Those who most loudly denounce Fake News are typically those most aggressively disseminating it.
#20. To: Deckard (#18)
#21. To: Deckard, Canadian Don (#12)
Toronto craft brewer Northern Maverick launches “Fake News Ale”
#22. To: Deckard (#19)
#23. To: A K A Stone (#20)
Apparently you are to dumb to know that your dream of a drug state would do just that.
“Truth is treason in the empire of lies.” - Ron Paul
Those who most loudly denounce Fake News are typically those most aggressively disseminating it.
#24. To: Deckard (#23)
Yeah - how's that trillion dollar war on drugs of yours doing keeping kids off drugs?
#25. To: Deckard (#23)
#26. To: Gatlin (#14)
#27. To: Stoner (#26)
Besides the Hawesville, Ky plant, Braidy Industries is planning to build a $1.3-billion aluminum rolling mill plant in Northeast Kentucky www.dailyindependent.com/.../braidy-industries.../article_01b146e0-e5b1-11e7- bc50...
Thanks for that information. I did find It interesting.
#28. To: Deckard (#0)
#29. To: Fred Mertz (#28)
#30. To: buckeroo (#29)
#31. To: buckeroo, Fred Mertz, war, GrandIsland (#29)
BUCK: "Can't you (at least) get a job flippin' burgers @McKiDees?
#32. To: Liberator, Fred Mertz, Free Market Capitalist, buckeroo (#31)
#33. To: A K A Stone (#9)
How is that giving back the tax break?
#34. To: Liberator (#31)
#35. To: Fred Mertz (#28)
(Edited)
#36. To: Gatlin, A K A Stone, Deckard, TooConservative (#10)
(Edited)
#37. To: Deckard (#0)
#38. To: Deckard (#23)
#39. To: GrandIsland, paraclete, buckeroo (#38)
#40. To: Deckard (#0)
McGreevy called the proposed aluminum tariff "a new $347.7 million tax on America's beverage industry" and warned that imposing those added costs could trigger more than 20,000 in job losses.
#41. To: GrandIsland (#34)
(Edited)
When I worked the road, if I found people walking down the side of any highway
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