The US media said that for Mr. Trump, if you must find an object to "demonize" and blame it for stealing the blue-collar jobs of its favorite industry, then don't blame China and the "bad trade agreement". Blame the robot.
According to reports, 30 years ago, the US steel mill employed about 188,000 people, and now the number is about 86,000. President Trump is suffering from tens of thousands of unemployed workers (many of whom have voted for him). Try to reverse the time by collecting high tariffs. But for Trump's so-called forgotten men and women, this will be no good.
According to the report, as others have said, there are many reasons to judge that the steel tariffs announced by the Trump administration recently will cause a huge economic and national security mistake. These tariffs will come at the expense of many industries that use steel as a raw material, and benefit a small number of industries, such as the automotive industry, which will increase the price of products purchased by American consumers.
It is said that the high tariffs are aimed at “punishing Chinaâ€, but China is not the top 10 source of steel imports from the United States. On the contrary, they will largely impact allies such as Canada. At present, these allies have threatened to retaliate and impose tariffs on US exports, which will harm the interests of American workers.
According to the report, these tariffs will bring more losers to the United States than net winners, but it is not clear whether they will bring more winners to the US steel industry.
According to the report, the current steel output in the United States is the same as that of 30 years ago, but the employed workers are half of the previous ones, mainly because of technological advances – or simply because of robots. This is the case in many industries, as Chad Sivoson, a professor of economics at the University of Chicago's Booth School of Business, puts it, "The more we are good at manufacturing, the fewer people we need to make these products." In particular, the steel industry has undergone transformation in recent decades. It has transformed from a vertically integrated factory to a more efficient and highly automated “micro-factory†that recycles existing steel and employs fewer employees. .
According to the report, Trump also announced that it has imposed high tariffs on aluminum. Just like the steel industry, the aluminum products industry has also gained huge profits from improving productivity. However, it is also a fact that the jobs in the aluminum products industry have been moved overseas. . But in general, these jobs in the aluminum industry have not moved to China or other low-income countries, but to countries such as Iceland, Canada and Norway. The aluminum industry needs a lot of electricity to melt aluminum, so the factories concerned have been pursuing cheap geothermal or hydropower. High tariffs on aluminum do not suddenly reduce the cost of melting aluminum in the United States. Instead, US manufacturers using aluminum raw materials will only transfer their total assembly lines (and US jobs) overseas to avoid tax avoidance.
According to the report, this is not the first time Trump has blocked the reasons for the decline of these industries because of the nostalgia for the fading industry.
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