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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsElectrolux puts $250 million American investment on hold
STOCKHOLM (Reuters) - Swedens Electrolux (ELUXb.ST), Europes largest home appliance maker, said on Friday it would delay a planned $250 million investment in Tennessee, after U.S. President Donald Trump announced tariffs on imported aluminum and steel.
On Thursday, Trump said the duties 25 percent on steel imports and 10 percent on aluminum would be formally announced next week, although White House officials later said some details still needed to be ironed out.
We are putting it on hold. We believe that tariffs could cause a pretty significant increase in the price of steel on the U.S. market, Electrolux spokesman Daniel Frykholm said.
Electrolux buys all the steel it uses in its U.S. products domestically.
So this is not the possibility of tariffs directly impacting our costs, but rather the impact it could have on the market and that it could damage the overall competitiveness of our operations in the U.S., Frykholm said.
https://www.reuters.com/article/us-usa-trade-trump-electrolux/electrolux-puts-250-million-u-s-investment-on-hold-over-trump-tariff-hike-idUSKCN1GE1P0
askyagerz
(776 posts)Tennessee meet karma
Takket
(21,425 posts)any day now, Mueller. Save our country while there is still something left to save
Johnny2X2X
(18,747 posts)This is the stuff that led the World into the great depression.
The world economy might be fine without the US though this time around. So the rest of the world will make trade deals without us that increase trade, and they'll do less business with the US.
If it were just the steel tariffs after the solar tariffs that would be one thing, but this is a signal of many trade barriers to come. The US could wither away while the rest of the world moves forward together on trade.
Hangdog Slim
(80 posts)My quick take on this tariff announcement is Trump is looking at the upcoming special election in Western PA 18th district. That district is literally in the shadow of the US Steel plant in Braddock, PA. Placing a tariff on foreign steel is welcome news to those workers and that hard hit community. Of course once that election is over, I suspect, all talk of tariffs will stop and he will be on to whatever else may be politically expedient. Any thing Trump proposes, be assured, is for whatever it gains him in the immediate just like any corporate entity these days. Long term effects or impacts writ large don't factor in his equations in the slightest.