Heavy Metal

Wall Street Journal ^ | 3/13/2002 | Pete du Pont

[logician2u]

His handpicked candidate for governor of California, the RINO (Republican in name only), liberal, Clinton-supporting former mayor of Los Angeles, Richard Riordan, suffered an 18-point drubbing by conservative Bill Simon (the son of the former Treasury secretary) in the March 5 Republican gubernatorial primary. Backing Mr. Riordan was the first serious political misstep of the Bush presidency, and one wonders how his political team could have so badly misread the conservative California Republican base.

[logician2u]

At a time when the economy needs a good shot in the arm to encourage consumer spending, does it make sense for the President to make American-made steel products more costly?

The ripple effects of this will likely be felt years from now for most people. We don't all replace our washers and dryers every year. But when you think of all the products made from steel that will be affected, and the businesses forced to go offshore to compete, this has got to be one of the dumbest moves by a Republican President in quite some time.

Pete du Pont is entirely correct in this op-ed.

[Free the USA]

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[Free the USA]

Pete Du Pont is right most all of the time.

[sinkspur]

This protectionist policy will cost thousands of Americans their jobs, will raise the cost of living for the rest of us, and may have seriously set back the cause of free trade--the single most important economic underpinning of prosperity for nations in a global economy.

This overwrought handwringing from the duPont's of the world is funny.

This is a THREE YEAR DEAL.

Bush kept his promise to the steel workers (he DID make a promise to them, you know).

If it's not working, in three years he can remove it.

It remains to be seen if there will, in fact be "thousands" of Americans losing their jobs.

[BJClinton]

So politics triumphed over sound policy; nothing new there.

That about sums it up.

[Arleigh]

This overwrought handwringing from the duPont's of the world is funny.

Almost as funny as Jorge Bush, the Last Republican Ever Elected President. He'll join Zachary Taylor (the last Whig) and John Quincy Adams (last Federalist) in the history books.

[dalebert]

Pete is entirely wrong and seems to be embellishing the truth.

[Inspector Harry Callahan]

Read Section 7 and 8 in the Constitution. Where does the Executive Branch get off imposing tariffs?

Section 7. All bills for raising revenue shall originate in the House of Representatives....
Section 8. The Congress shall have power to lay and collect taxes, duties, imposts and excises....

Serious question. Where does Bush find the authority to impose a tariff on imported steel?

[Inspector Harry Callahan]

The sections 7 and 8 of which I speak come from Article I, btw. Link

[sinkspur]

Where does the Executive Branch get off imposing tariffs?

Call Klayman. I'm sure he'd be happy to file another meaningless lawsuit.

Glad to see you're not dead.

[logician2u]

You don't think an outmoded concept from the 18th Century can stand between Bush and his promises, do you?

Good to see you're posting again, Inspector! (Ol' Sink musta mistya too, but won't readily admit it.)

[logician2u]

Maybe you can explain to me exactly what you meant by "if it isn't working?"

Isn't the purpose of protecting the U.S. steel industry to let it behave as it historically has, i.e., with less efficiency than its foreign competition?

Then, if that's the case, removing the tariffs after three years would put the industry in a bigger bind than it is in currently. You know the extra breathing room Bush is giving them will soon be taken up in higher wages and benefits. Those companies showing a positive earnings outlook after counting for that 20% price advantage will either have to please their stockholders by investing in capital equipment or yield to union pressure for a wage hike. (My bet's on the union, as I suspect yours is also.)

So what has been gained other than maybe a few -- darned few -- union votes in the rust belt?

Three years from now, expect the tariffs to continue.

[sinkspur]

Three years from now, expect the tariffs to continue.

If the steelworkers' endorse the Dem candidate in 2004, I expect the tariffs WON'T continue.

And I'd bet $100 on it.

[logician2u]

Thanks.

That answered my question.

It's all about politics, not the steel industry.

[Torie]

That's all? LOL.

[My Favorite Headache]

Bump

[dcwusmc]

bump

[Ben Ficklin]

I sell and and install a product that contains a sizable amount of 18ga, cold rolled galvanized steel. Depending on model/style, that steel content cost varies between 30 & 50%.

The new price list I recieved 3 weeks ago had no increases. Although I can't remember exactly, it has been 10-14 years since there was a price increase on this steel.