Steel and other metals are part of every manufactured home. It would be unlikely that someone would find a long list of HUD Code manufactured home builders getting excited about the first word on tariffs.
Publicly traded companies involved in manufactured housing watched their stocks lose ground in most cases. Only 3 of the tracked stocks rose, the others either held or fell. To see the full market recap, click here.
Agree or disagree – this is one of those candidate Donald J. Trump campaign promises that President Trump is now beginning to implement.
Even normal POTUS Trump supporters are questioning, even blasting the move.
Steve Forbes, and Larry Kudlow are among those Trump supporters who are howling on this move…
…but some who jeer are met by others who cheer.
Nucor President and CEO John Ferriola explains why President Trump’s plan to impose a tariff on steel and aluminum would affect the price of cars, but that on a average car price of $36,000, the price hike would be about $160 if steel prices rose 20 percent. That’s less than ½ of 1 percent, says Ferriola.
So there are two sides to this issue, which the Fox Business videos posted above and below reflects. “The Coming Collapse of China” author Gordon Chang explains this is a national security issue, as well as a shrewd business move.
Dems Love it, Says Bloomberg…
“This welcome action is long overdue for shuttered steel plants across Ohio and steelworkers who live in fear that their jobs will be the next victims of Chinese cheating,” said Ohio Democratic Senator Sherrod Brown, per Bloomberg.
Democratic Senator Ron Wyden of Oregon said, “The American steel industry has been under pressure for decades from unfairly traded products from China and elsewhere, as well as global overcapacity. I am pleased that the president recognizes the importance of addressing these challenges and finally intends to take action.”
The Daily Business News take?
Expect some roller coasters, until the markets grasp the bottom line data. Example, the solar panel tariff move resulted in overseas companies quickly opting to move some production to the U.S.
So among the cooler analyst heads, odds are that the markets will smooth out. Are there other reasons why? Because the mammoth U.S. trade deficit with China gives the U.S. some leverage, as expert Chang explains. It may also give the U.S. move leverage with China over the North Korean issue.
With the markets already roiled by FED related concerns in February, there are several tactical and strategic reasons to believe this could prove to be another presidential gamble, that could pay off. Time will tell. ## (News, analysis, and commentary.)
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Submitted by Soheyla Kovach to the Daily Business News for MHProNews.com.
Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com.