Cabinet Conflict of Interest or Benefit to America

This should be a much larger thread than I have the time for so I will attempt to be brief and to the point.

I commented on a few threads as the cabinet nominations rolled out, noting their connections to U.S. Steel Corp. Today an EO was signed declaring that:

(i) With regard to iron or steel products, that all manufacturing processes for such iron or steel products, from the initial melting stage through the application of coatings, occurred in the United States.

Among other provisions.
www.whitehouse.gov...

Robert Lighthizer, a prominent trade attorney and former deputy USTR under President Ronald Reagan, got the Trump transition team’s nod for the top trade spot Tuesday morning.....

As a lawyer, Lighthizer still represents U.S. Steel Corp. and other domestic giants in their efforts to keep foreign steel imports at bay. His bona fides are bolstered by his previous role as a chief of staff on the Senate Finance Committee, where he developed an understanding of congressional dynamics and loyalty to Chairman Bob Dole, later serving as treasurer for the Kansas Republican’s presidential campaign in 1996.

www.politico.com...

After the last recession many foundries went under. U.S. Steel did not and today stands to reap the rewards of this particular mandate.
en.wikipedia.org...

From my point of view this all seems planned. It will benefit America and it will benefit jobs and income. The big IF is will this further the control over the market that U.S. Steel has or will incentives be made for new foundries to open or perhaps reviving some old?

Thoughts?

a reply to: JinMI

Thoughts?

I haven't dug into all the ins-and-outs yet of the pipeline and steel pipe fabrication issue(s) yet but I can tell you my initial, gut reaction...

While it's true that many, MANY fabricators and mills have shut down over the years, it is also true that a resurgence in domestic fabrication will benefit those who still remain. HOWEVER, if there is a sudden and drastic increase in demand for domestically fabricated materials, the "big guys" will not, in my opinion, begin to construct new facilities. They will in all likelihood subcontract that work out to smaller entities that may or may not be struggling to get by. This is a positive for the "big guys" and for the "little guys" simultaneously.

a reply to: eluryh22

They will in all likelihood subcontract that work out to smaller entities that may or may not be struggling to get by. This is a positive for the "big guys" and for the "little guys" simultaneously.

And thusly, Trump cracks down on transfer pricing thereby allowing corporations to book their profits domestically which incentivizes them to bring manufacturing back to the mainland.

All this on the eve of the wall announcement according to some sources.

a reply to: eluryh22

I guess my fear is that to supply U.S. steel will require quite a bit of resources, thus allowing them to control the market price.

Natural resources are the underpinnings of any economy. More food, more water, more steel, aluminum, rare Earth metals, cotton, cement, timber, oil etc.. equals bigger economy and greater security.

As long as there are extra people or robots who can do the work.

I've seen a lot of steel imported from Japan of all places. I think we could be competitive enough. China is not far behind in modernization. It won't make sense to keep shifting factories all around the World to chase low wages, when their standard of living goes up quickly.