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Much of steel industry is a mess. We have many smaller facilities that are modern and extremely competitive, and we have lots of larger older uncompetitive facilities that should be allowed to fail. The average wage I'm told in these places is $38 per hour. There's no incentive for management to retool. There are estimates (maybe by Cato) that tariffs will cost more jobs across America than they will save in the steel industry.

But in this political environment, tariffs are inevitable. Ohio and Pennsylvania are both big steel and big swing states. I would take an agreement between Democrats and Republicans to end steel subsidies or the one who removes them will pay a big political price.

This doesn't mean that Bush has abandoned smaller government principles (although I'm sure a few will disagree). It means that he's pursuing a policy of smaller government where possible, and has chosen not to spend his political advantage in on this.

Better ideas than tariffs have been proposed such as allowing tax credits for modernization, but they probably don't translate as well in the polls.

Bush's political team, led by Karl Rove, pushed for high tariffs to court favor with union members and voters in the industrialized Midwest.

IMO this is what it's all about. The steel workers union have been really pushing this lately.

Much of steel industry is a mess. We have many smaller facilities that are modern and extremely competitive, and we have lots of larger older uncompetitive facilities that should be allowed to fail. The average wage I'm told in these places is $38 per hour. There's no incentive for management to retool. There are estimates (maybe by Cato) that tariffs will cost more jobs across America than they will save in the steel industry.

Agreed - I buy leaded carbon steel rod from Canada- typically drawn from German billets. Yeah the U.S. stuff is great when you can get it - but typically the quality is inferior and lead times are much longer- frequently they will scrap billets for remake due to quality problems, nglecting to inform anyone in the chain - I cant service my customers like that - so i buy Canadian and have for 20 yrs. Bush's actions are too little too late - hes essentially cleaning up after Clintoon at this point.

The average wage is nowhere close to $38 an hour. I spent 30 years working in a steel mill and the average wage is around $15-$18 and hour. Still good money, but the working conditions are terrible. Heat that will singe the hair off your arms and air that is barely breathable. Make a wrong turn or stumble and you will die. Not might. Will. If you make it to retirement, you will probably only live for another year or two before the years of living with carcinigens, asbestos and other pollutants catch up with you.

It is rare to find a steelworker that has only been married once. The shift-work, working holidays and weekends take it's toll on a marrige.

Though I got a couple of college degrees while I was there and got out, the people that work there deserve every penny they earn. Except management of course! ;-)