U.S. Steel President and CEO David Burritt thinks now isn't the time to rollback former President Donald Trump's signature steel tariffs that were designed to pressure China's rising steel industry.
"We have always said we can compete with anyone on a level playing field. It's very clear we haven't had that level playing field. The Section 232 [tariffs] were necessary. The steel that would come from China — the illegal steel that would come from China — would find its way into Europe and then into the U.S.," explained Burritt on Yahoo Finance Live.
Added Burritt, "So the risk is that unless you have enforcement at the borders, if you take the 232 [tariffs] off, that steel that would come from Europe might actually come from Asia and find its way in. That's the real danger. I think it's too soon to take off the 232 [tariffs]. We need to make sure we can take care of the United States again. Getting back to the pandemic, what did we learn? You have to have a resilient supply chain, a supply chain that you can count on and that means making sure you have enforcement at the borders and keep the illegal steel out."
Trump imposed 25% tariffs on imported steel and 10% on aluminum brought in from overseas back in 2018. At the time, Trump argued the tariffs were needed for national security reasons. But critics of the tariffs contended they simply reflected Trump's long-held negative view of China's business practices.
