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    You are at:Home»International»Trump’s Steel Tariffs Throw US Factory into Turmoil
    International

    Trump’s Steel Tariffs Throw US Factory into Turmoil

    Abdullahi JimohBy Abdullahi JimohJune 29, 202503 Mins Read
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    Nigeria Courts Chinese Steel Giants to Revive Ajaokuta Steel
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    At Independent Can’s factory in Belcamp, Maryland, the summer heat contrasts with mounting tensions as workers produce festive metal containers amid the fallout from President Donald Trump’s hefty steel tariffs.

    Rick Huether, the 73-year-old CEO who began working in the family business at age 14, is determined to sustain the company for future generations. However, the tariffs introduced since Trump’s return to the White House in January have complicated matters significantly.

    “We’re living in chaos right now,” Huether told AFP.

    Trump initially imposed a 25 percent tariff on imported steel and aluminium, later doubling the rate to 50 percent, a move that has severely impacted operations at Independent Can and prompted concerns over price increases.

    Inside the factory, steel sheets coated with tin to prevent rust are transformed into containers for products like cookies, dried fruit, coffee, and milk powder. Yet, there is insufficient US-produced tinplate to meet demand.

    “In the US, we can only produce about 25 percent of the tinplate needed for our work,” Huether explained. “The rest — about 70 percent of our steel — must be sourced from outside the country.”

    Cheap Chinese Steel Threatens Industry and Climate Goals, Says OECD

    Though Huether supports boosting American manufacturing, he questions Trump’s approach, noting how the administration has frequently announced tariffs only to later amend or delay them, sometimes targeting products not made domestically.

    Currently, Independent Can employs nearly 400 workers across four sites and is not considering layoffs despite the current disruptions. Still, Huether recalled how one plant in Iowa shut down last year partly due to tariff increases during Trump’s previous term.

    With tariffs now at 50 percent, Huether expects to raise prices by over 20 percent since tinplate forms a significant portion of his production costs. Some clients have already cut their orders by 20 to 25 percent this year amid economic uncertainty and reduced demand.

    There is a renewed willingness among some customers to buy American-made goods, though Huether remains cautious about how long this trend will persist, drawing parallels with shifts observed during the Covid-19 pandemic.

    “During the pandemic, as China’s ports closed, our business surged by 50 percent,” he said. However, once the crisis eased, customers reverted to sourcing from China.

    Huether welcomes new customers now but stresses the need for longer-term contracts: “We need a two-year commitment.”

    Despite the challenges, the near-century-old company — established during the Great Depression — aims to endure.

    “I believe our business will survive,” Huether said, adding, “It’s about figuring out what you’ll be selling over the next six months.”

    Donald Trump Steel Tariff
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    Abdullahi Jimoh

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