Bush ditches steel tarrifs

[Bozo Erectus]

Bush isnt as dumb as he looks after all:

President George W Bush has repealed US tariffs on imported steel to avoid a damaging trade war.
The decision follows a World Trade Organisation decision that the duties, imposed in March 2002, are illegal.

Mr Bush had justified them by saying foreign steel firms were driving US firms out of business with unfair competition and government subsidies.

The European Union announced that its sanctions, to be imposed against the US and worth $2.2bn, will be dropped.

http://news.bbc.co.uk/2/hi/business/3291537.stm

 

[Comraddict]

or sign that he can't deal with all problems at same time?

 

[Xen]

as long as it keeps the U.S economy #1 though istill wont vote republica when it comes time to it

 

[anarchywrksbest]

Actually Xen the steel tarifs were there in the first place so that the inefficient American steel industry wouldn't have to really deal with foreign competition.

 

[cgannon64]

Odd, why would he do this before the election? The only reason he made them in the first place was to win Pennsylvania, and now he's ditching before an election, when Pennsylvania is just as, if not more important?

Anyone hear what he called Pittsburg on the Daily Show? "Knowledge City."

 

[Archer 007]

Finally a Bush policy I can agree with. Im glad he's doing a good thing even though it may cost him some votes.

 

[Desmond Hawkins]

I cannot understand how the Americans could lecture third world nations about how they MUST open up their economies, but at the same time take action to close its own economy by putting up those ridiculous tarriffs. Pure hypocrisy. It is actions like these that prevent 3rd world countries from taking them seriously at trade talks these days.

 

[amadeus]

Good for Bush

It's about time.

 

[Norlamand]

Originally posted by cgannon64
Odd, why would he do this before the election?

Angering steelworkers bad, trade war wrecking recovering economy and angering whole nation worse......

 

[Pontiuth Pilate]

Time for a photo op in a Pennsylvania factory!

 

[amadeus]

There's two people effected by the tarrifs, so let's not act like the steel workers are the only people there are in this equasion.

On the converse of the steel workers themselves, workers in many industries that use steel (particularly automotive industries) were worried about this tarrif, because it would push the cost of steel up and hurt their abilities to grow.

 

[The Yankee]

I think Bush just fell under the pressure of EU tariffs that would have made a mess for us. The WTO's ruling really didn't have anything to do with it.

That, and probably some pressure from companies that use steel, like automobile manufacturers, to repeal them. There is no single factor.

 

[ainwood]

I wonder if the next step is to drop the agricultural tariffs that were also deemed illegal IIRC.

 

[Xerol]

according to the local news, the EU sanctions would have affected a bunch of southern agricultural industries, especially oranges and the like.
let's look at the equation here:

Citrus = California & Florida
Steel = PA, OH, WV, MI.
Not sure of the exact electoral vote counts but I think CA and FL add up to more than the other four, and probably other nearby states too.

Hm...I never thought I'd say this either, but this was a somewhat intelligent move by Bush.

 

[Zarn]

Ohio usually goes Republican in presdidental elections, anyway.

Florida is a hot state in the elections. At least as much as one as PA.

BTW, Bush knows that although the tariff helps steel miners, it hurts alot more other people. This is due to the EU tariff and the autoindustry.

 

[Toasty]

Heh, MI is a lost cause. Two Democratic senators and a Democratic governor. Voted Democratic in all of the elections I can remember. Bush needn't worry about capturing our 19 electoral votes, he need worry about how to counter them.

Anyways, keeping the steel tariffs in place probably would've done more harm than good to the state economy, anyways--as pointed out, the damage done to the steel industry by removing them would've been put on things like the auto industry had they been left in place. MI is far more reliant on autos than steel outside of Saginaw.

 

[ShiplordAtvar]

I don't like any tariffs. I also don't care for anything else that impedes free trade, whether that trade is intra- or international in scope.

That means I also hate trade quotas, and a whole host of other nasty stuff that goes on.

 

[cgannon64]

Originally posted by Norlamand


Angering steelworkers bad, trade war wrecking recovering economy and angering whole nation worse......

True, I didn't think of the counter-tariffs other nations might put in place.

 

[Zwelgje]

Originally posted by QwertySoft
according to the local news, the EU sanctions would have affected a bunch of southern agricultural industries, especially oranges and the like.
let's look at the equation here:

Citrus = California & Florida
Steel = PA, OH, WV, MI.
Not sure of the exact electoral vote counts but I think CA and FL add up to more than the other four, and probably other nearby states too.

Hm...I never thought I'd say this either, but this was a somewhat intelligent move by Bush.

I thought it was quite intelligent of the EU too, to put sanctions to those states that would hurt Bush bad if he would loose support there. Finally the people in Brussels found out about US politics and how to use it in their favour. In fact it's the first intelligent thing coming from Brussels.

 

[Desmond Hawkins]

Forcing American steel to compete on even ground with tough foreign competitors will encourage it to become more efficient, which will ultimately benefit everyone.