It’s easy to get swept away with tidings of good fortune, especially when the American economy has been so shaky in recent years. However, it’s important to stay focused on the work ahead and the changes that U.S. companies need to stay competitive in the global marketplace. Here at Florida Pipe & Steel, we’re always keeping track of economic developments affecting the American steel industry.
Recently, reports from the U.S. Federal Reserve have led to some extreme optimism about the near future of the country’s economy. What could have been a turbulent time with the recent replacement of Federal Reserve chairman Ben Bernanke with newcomer Janet Yellen has quickly turned to optimism. In Yellen’s first public announcement, she was very confident that the American economy will continue to grow and strengthen.
There are some questions that remain to be answered, however. First of all, interest rates from the Federal Reserve will stay close to zero, but will those increase once unemployment dips below 6.5 percent, as this article published by MetalMiner suggests?
Blind positivity isn’t a foundation that the American steel industry can rebuild itself upon. As steel experts point out, Yellen’s insistence that the U.S. economy should improve says little about how domestic firms will be able to continue to compete against foreign manufacturers, especially in the steel industry. American companies have long called for more oversight from Congress to suppress cheap imports and support domestic competitiveness on the markets.
Public policy advocates from the American Iron and Steel Institute (AISI) have outlined the positions they think the country needs to take on tax policy, energy and international trade to support domestic firms. Although they’ve submitted their concerns through public avenues, the above article seems to suggest that change will still be slow, as far as Washington is concerned.
We can still work towards bright days ahead in American manufacturing, with or without help. So much of that manufacturing future can base itself on American steel, thanks to the efforts of Florida Pipe & Steel as well as the many other companies across the nation involved in the steel industry.