COLORADO SPRINGS, Colo. — President Donald Trump signed proclamations countering trade practices.
The White House announced on Monday that President Trump had signed orders closing existing loopholes and exemptions to restore a true 25 percent tariff on steel and elevate the tariff on aluminum from 10 percent to 25 percent.
The goal is to strengthen steel and aluminum industries in the U.S.
Steel businesses in Colorado Springs are expressing mixed feelings about this announcement.
"I support President Trump's tariff," said Micah Olesky, Vice President of Western Steel Inc.
Family-owned business "Western Steel Inc." has been providing services to Colorado Springs for generations.
Olesky says the company has been losing some money.
"Steel prices are down about 35 percent over the last 12 months," Olesky said.
He says their suppliers are American-owned steel mills.
"What we hope that tariffs will bring us some type of stability to the U.S. pricing. It allows a little bit to make more money on the mill level. or intermediate level like us," Olesky said.
Scott Van Ness, an associate professor of Operations Management at the University of Colorado, Colorado Springs, says the tariff is good news for some U.S. companies.
"Because this is an opportunity for them to gain a market share," Van Ness said.
But he says challenges could be on the way.
"They can't meet all the needs of steel and aluminum production in the U.S. There could be some impact, " Van Ness said.
Van Ness says customers could see more expensive price tags.
"The manufacturers have to pay a little bit more and maybe pass down to us," Van Ness said.
Olesky also says customers could see some price increase, but it's too early to tell how big of a price jump.
"Just because it's 25 percent on imports doesn't mean prices are going to rise," Olesky said.
The tariffs are set to take effect on March 12th.
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