China slaps tariff on U.S. oil pipe, potential hit to Texas industry

[ABX]

Pipe prices were already up by over 20% before this.

Texas manufacturers who produce steel oil and gas pipelines and drill pipe are expected to see a relatively modest impact from China's announcement it was slapping a 15 percent tariff on steel pipe from the United States.
Last year the United States exported 832,000 metric tons of steel pipe, according to the U.S. International Trade Administration. More than 80 percent of that pipe went to Canada and Mexico, with China coming in a distant third......

https://www.chron.com/business/energy/article/China-slaps-tariff-on-U-S-oil-pipe-12776393.php

[GrouchoTex]

Did anyone expect that other countries would just rollover when we announced our own tariff hikes, or is this some more of that 9th dimensional chess squared?

[INVAR]

Trump has to go out and reward the Union thugs with trade war protectionism along with the fully-funded Democrat agenda he just signed.

It's called a rope-a-dope, and all the Republicans/Conservatives who thought they were getting a guy who will 'fight for them' had no idea who Trump really meant he was going to fight for.

Trump fights for himself mostly.  Then, he'll fight for those who are 'nice to him'.

[Fishrrman]

Well, assuming China produces their own pipe -- at prices that are probably subsidized by their government and far lower than ours -- I sense not many Chinese buyers were going to be in the market for American-produced pipe before or after the tariff.

Kabuki theater.

[GrouchoTex]

Well, assuming China produces their own pipe -- at prices that are probably subsidized by their government and far lower than ours -- I sense not many Chinese buyers were going to be in the market for American-produced pipe before or after the tariff.

Kabuki theater.

I think you may have misread this.
Chinese companies are now buying drill pipe from Texas.
(we're pretty good at this drilling business).
China is now going to put a 15% tariff on the drill pipe from Texas, going into China, opening the door for others to compete there.
While we are pretty good at it, we aren't the only ones who do this.
Who wins?
Hard to say, yet.
Who loses?
Texas.

[sneakypete]

Not a problem. We can just put tariffs on Chinese junk coming into the USA. Win/win.

[GrouchoTex]

Not a problem. We can just put tariffs on Chinese junk coming into the USA. Win/win.

......and prices spiral upward, interest rates go up, while our paychecks do not.

[sneakypete]

......and prices spiral upward, interest rates go up, while our paychecks do not.

@GrouchoTex

BullBush! A temporary slump,and then we start to recover with higher employment and export levels.

[GrouchoTex]

@GrouchoTex

BullBush! A temporary slump,and then we start to recover with higher employment and export levels.

I disagree. We will see higher prices and shrinking export market.

[IsailedawayfromFR]

Well, assuming China produces their own pipe -- at prices that are probably subsidized by their government and far lower than ours -- I sense not many Chinese buyers were going to be in the market for American-produced pipe before or after the tariff.

Kabuki theater.

agreed.  The Chinese would never buy much American steel anyway unless it was some specialized alloy, which would cost much more do relatively indifferent to extra costs.