WHY JACK KELLY IS RIGHT ON TRADE
Yesterday (3/06), TTP’s Jack Kelly wrote “Why Trump Is Right on Trade.” It really hit a nerve, eliciting a number of excellent insightful comments, both pro and anti, on the TTP Forum. Here is why I think Kelly is right. It’s based on my personal business experience.
I have direct-reduced iron producing clients in 13 nations. These are the first tier beneficiation plants that convert iron ore into iron pellets for further use in steel making. Iron oxide in the ore is reduced to iron metal using coal or metallurgical coke as a reductant in very large rotary kilns. The process consumes a lot of thermal energy and can have a heavy environmental footprint.
I personally know my way around most of these facilities, know their production costs, their production efficiency, plant and equipment life remaining, and the names of the husbands and wives of the executives. I know the union bosses if they have them. I know this industry.
Free trade theory is discussed daily on American heavy industry shop floors. The blue collar guys understand the theory, they understand Milton Friedman and have studied Free to Choose at length. Many subscribe to the Cato Institute letter, FEE, or even that Mises Institute at Auburn. They understand the concepts as though their lives depend on it…because they do.










