Trump's Steel Tariff Threatens His Goal Of Oil And Natural Gas Dominance
https://www.forbes.com/sites/judeclemente/2018/03/04/trumps-steel-tariff-is-bad-for-his-oil-and-natural-gas-dominance/#2613f1bd2550MAR 4, 2018
...Steel is an essential component of oil and gas projects, such as drilling, pipelines, and export terminals. Particularly for new pipelines, a significant portion of the steel used is speciality products that get imported because our industry doesn't make them. For example, the type of pipe and steel used to make large diameter, thick-walled pipe are niche products. They are not available "off-the-shelf" and only can come from certain manufacturers. We are the largest steel importer in the world, with imports more than doubling since 2009. About a quarter of steel pipe and tube purchased by companies in the U.S. in 2016 was imported....
... At 92 million tonnes, the U.S. produced just 6% of the world's steel in 2016, compared to nearly half that China produced.
Tariffs will up prices for the oil and gas industry (and pretty much all other sectors), which will obviously trickle down to increase prices for everyday Americans. Not only are we continually strengthening our position as the world's largest oil and gas producer, but we have a massive pipeline build-out coming to deliver energy across the country and even to support exporting our surplus around the globe to reduce the influence of more risky OPEC and Russia. There are serious concerns about whether U.S. steelmakers would be able to handle higher volumes and produce all grades of steel necessary for industrial production, explaining why President Trump's campaign promise to ensure that our steel for pipelines will need to be "made in the USA" was pulled back.
Such anti-import policies can lead to critical delays and even cancellations for U.S. pipeline projects, holding up hundreds or thousands of miles of new builds. This is very unfortunate: ICF reports that 75% of current pipeline construction expenditures end up in the pockets of American workers and business owners....
