{"id":16303,"date":"2025-03-30T09:09:29","date_gmt":"2025-03-30T09:09:29","guid":{"rendered":"https:\/\/site.itshrt.com\/worldnews\/on-minnesotas-iron-range-trumps-tariffs-could-be-boom-or-bust\/"},"modified":"2025-03-30T09:09:29","modified_gmt":"2025-03-30T09:09:29","slug":"on-minnesotas-iron-range-trumps-tariffs-could-be-boom-or-bust","status":"publish","type":"post","link":"https:\/\/site.itshrt.com\/worldnews\/on-minnesotas-iron-range-trumps-tariffs-could-be-boom-or-bust\/","title":{"rendered":"On Minnesota\u2019s Iron Range, Trump\u2019s Tariffs Could Be Boom or Bust"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<\/p>\n<div data-testid=\"companionColumn-0\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Once a week, most weeks, the ground in Chisholm, Minn., shudders underfoot.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cWhen they blast over here, we can feel it in town over there,\u201d Jed Holewa, a City Council member, explained as he looked out over the pit of the Hibbing Taconite mine, a machine-made canyon of flint-colored earth extending to the hills just southwest of town.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The low rumble of controlled explosions is reassuring in an area where few livelihoods are more than a couple of degrees removed from the mines. But this month the ground beneath the Iron Range has begun to shift in a very different way.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The sedimentary rock known as taconite, found in abundance in northern Minnesota, yields most of the United States\u2019 iron ore, which in turn is made into steel used by the American auto industry. Thus the seismic effects of President Trump\u2019s <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/03\/26\/us\/trump-tariffs-auto-cars.html\" title=\"\">March 26 announcement<\/a> of a 25 percent tariff on all cars and auto parts imported into the United States. The measure is meant to benefit the domestic auto industry, and has earned <a class=\"css-yywogo\" href=\"https:\/\/apnews.com\/article\/donald-trump-auto-tariffs-union-workers-0de3e6f328cae87ded425380d0462516\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">praise from labor leaders<\/a>. But <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/03\/26\/business\/trump-auto-tariffs-car-prices.html\" title=\"\">analysts predict<\/a> it will most likely throw that industry into near-term turmoil, and several domestic automakers saw <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/03\/27\/business\/auto-trump-tariffs-stocks-futures.html\" title=\"\">their stock fall<\/a> last week after Mr. Trump\u2019s announcement.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The tariff announcement comes amid a <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/live\/2025\/03\/27\/business\/trump-tariffs\" title=\"\">brewing trade war<\/a> between the United States and Canada prompted by Mr. Trump\u2019s earlier threats to <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/03\/14\/world\/canada\/trump-tariffs-canada-global-trade.html\" title=\"\">impose broad tariffs<\/a> on America\u2019s northern neighbor and its longstanding ally and trading partner. Canada has <a class=\"css-yywogo\" href=\"https:\/\/www.canada.ca\/en\/department-finance\/news\/2025\/03\/canada-announces-robust-tariff-package-in-response-to-unjustified-us-tariffs.html\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">responded<\/a> with its own tariffs.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-1\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">At the same time, Cleveland-Cliffs, the steel conglomerate that controls Hibbing Taconite and other nearby mines, has <a class=\"css-yywogo\" href=\"https:\/\/www.mprnews.org\/story\/2025\/03\/20\/mineworkers-laid-off-iron-range-minnesota-mines-close\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">announced plans<\/a> to idle production lines and lay off more than 600 mine workers in the region, citing a softening of demand for cars. Mr. Holewa, a diesel mechanic at Hibbing Taconite, was among those waiting to hear his fate.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The son and grandson of miners, Mr. Holewa is well acquainted with both the fortunes and misfortunes of the industry, in which substantial union salaries go hand in hand with risk and uncertainty. His maternal grandfather was killed on the job, crushed by a haul truck. His father was laid off from a mine in Eveleth, Minn., in the 1980s, during the industry\u2019s darkest period. The high points of its uneven recovery were memorialized in the model years of the Fords his family bought when he was growing up: a 1988 Tempo, a 1994 F-150.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Mr. Holewa, a Republican, is also indicative of the shifting politics of the Iron Range, where Mr. Trump made dramatic gains over previous Republican candidates in 2016 \u2014 the beginning of a collapse of a onetime rural Democratic stronghold where Republicans have since claimed most of the region\u2019s seats in the State Legislature.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-2\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Mr. Holewa, who knocked on doors for Mr. Trump, was quick to note that the conditions that caused the layoffs preceded Mr. Trump\u2019s tariff announcements.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-3\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">\u201cThis has nothing to do with the tariffs,\u201d he said. \u201cLook at the price of vehicles right now. Sales are down. Lots are full.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">But a representative of Cleveland-Cliffs, whose chief executive has vocally supported Mr. Trump\u2019s trade policy, has told local officials that the tariffs could potentially prolong the layoffs, according to Larry Cuffe Jr., the mayor of Virginia, Minn., another Iron Range town. The company did not respond to requests for comment.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">And observers of Minnesota industry say the layoffs \u2014 the most serious non-Covid-related job cuts the Iron Range\u2019s mines have experienced in a decade \u2014 are a reminder of how uniquely exposed the region is to Mr. Trump\u2019s radical trade experiments: how much it stands to gain or lose \u2014 or both \u2014 from the shocks the president hopes to deliver to the system.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cIt\u2019s throwing a big uncertainty into the supply chain,\u201d said Bob Kill, the chief executive of Enterprise Minnesota, an organization that assists manufacturers in the state. \u201cYou see it at the Iron Range happening with raw material.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The range should in theory benefit from the expanded tariffs on imported steel that Mr. Trump announced in February. But it is also sensitive to shifts and uncertainty in the auto market, as this month\u2019s layoffs have shown. And a trade war with Canada could upend many businesses in the region, which is closer to the Canadian border than to Minneapolis, and raise the price of an array of goods and services, including electricity and dairy products.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-4\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">\u201cWe\u2019re going to ride it out and see,\u201d said Mike Jugovich, a county commissioner and a retired Hibbing Taconite miner in St. Louis County, which encompasses most of the Iron Range. \u201cWe don\u2019t have a real choice in the matter. We\u2019re joined at the hip to the tariffs.\u201d<\/p>\n<h2 class=\"css-13o6u42 eoo0vm40\" id=\"link-7d931759\">Boomtowns both wild and worldly<\/h2>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-5\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Most of America\u2019s domestically produced iron has come from northern Minnesota since the turn of the 20th century, when steam shovels backed by Rockefeller and Carnegie money transformed miles of boreal forest into a muddy, sooty sprawl of hard-living frontier camps.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">In those years, the mines drew thousands of immigrants from Finland and Croatia and everywhere in between, producing a boomtown culture both wild and cosmopolitan \u2014 a place where \u201cthe Babel of more than 30 different alien tongues mingles with the crash and clank of machinery,\u201d as a federal immigration agent wrote in a 1912 report.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">More than a century later, the Iron Range remains culturally distinct from the rest of the state. In towns like Chisholm, onion-domed churches punctuate residential neighborhoods, red-sauce Italian restaurants line the main drags and bars keep dusty bottles of pelinkovac, a Balkan wormwood liqueur, on the top shelf for the old-timers.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-6\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Many go back generations in the mines, their family trees intertwined with histories of corporate consolidations and labor strikes, of booms and, more often, busts.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cAnybody who\u2019s lived on the range understands that these are the cycles that occur,\u201d said Pete Hyduke, the mayor of Hibbing, just south of Chisholm, who went into government after he was laid off from his mining job in the 1980s.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-7\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Fewer than half as many miners are now employed on the Iron Range as were at the beginning of the \u201980s, when jobs fell victim to technological improvements and to the decline of the domestic steel industry, undercut by cheaper imports and the migration of manufacturing away from the United States.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-8\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Today, the range\u2019s fortunes turn largely on trade policy, the push and pull of free-trade agreements and tariffs. This became starkly evident in the 2010s, when China, whose steel production had grown to eclipse every other country\u2019s, began flooding the international market, cutting global prices in half by 2015 and prompting thousands of layoffs at Minnesota\u2019s mines. Since then, \u201cthe Iron Range has known that tariffs are important for our domestic production and survival,\u201d said Cal Warwas, a Republican state representative and a steelworker from Clinton Township.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-9\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">The Obama administration eventually imposed stiff anti-dumping tariffs on China, but the episode exacerbated local discontent with the Democratic Party. Iron Rangers\u2019 fiercely pro-union politics had for decades made the region the great rural redoubt of the Democratic-Farmer-Labor Party, Minnesota\u2019s variant on the Democratic Party. But in a socially conservative area whose fortunes rest on resource extraction, many found themselves dissenting from the D.F.L. on environmental protection and social issues, and convinced that an increasingly urban and suburban party was insufficiently attentive to the range\u2019s economic concerns.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cThey\u2019ve become way too woke for me,\u201d said Mr. Cuffe, the Virginia mayor, who left the D.F.L. and endorsed Mr. Trump in 2016.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Mr. Trump outperformed previous Republican candidates in the region in 2016, and endeared himself further by imposing 25 percent tariffs on Chinese steel during his first term. Today, the region\u2019s delegation to the State Legislature is entirely Republican save for one state senator.<\/p>\n<h2 class=\"css-13o6u42 eoo0vm40\" id=\"link-71bca61e\">Hope and anxiety over tariffs<\/h2>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-10\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Tariffs on China are broadly supported by Republicans and Democrats alike on the Iron Range. But Mr. Trump\u2019s promises to levy 25 percent tariffs on Canada and similar penalties on cars and car parts imported to the United States have raised alarm.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cI\u2019m very supportive of protectionist policies on industries that matter to our national defense,\u201d said Grant Hauschild, a state senator from Minnesota\u2019s Canada-bordering Third District, and the one remaining Democrat in the Iron Range\u2019s legislative delegation. \u201cHowever, haphazard, across-the-board tariffs on everything, everywhere, all at once, on allies as well as adversaries, is not the best policy.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">A core issue, manufacturing experts say, is that even the domestic industries Mr. Trump wants to bolster now rely on complex supply chains that run back and forth across borders with regional trading partners, which are difficult to untangle in places like the Great Lakes region.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">This is particularly true of the American auto industry, which \u201cis highly dependent on a robust North American supply chain that often involves cross-border trade,\u201d said Matteo Fini, an analyst at S&amp;P Global. American-made catalytic converters are shipped to Canada for installation in engines that are then shipped back to the United States. American lithium is made into cathodes in Canada, which are assembled into battery packs in the United States and then sent north again for vehicle production.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Jolts to this system may well be felt on the Iron Range, and broader tariffs on Canada, as well as any reciprocal tariffs Canada imposes, will affect the region in other ways. Minnesota utilities buy Canadian hydropower. Paper mills run on Canadian wood pulp. Tourism and Great Lakes shipping, other mainstays of the regional economy, rely on easy border transit.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-11\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">The local implications of a trade war are severe enough that some of Mr. Trump\u2019s supporters on the range have concluded that despite his years of tariff evangelism, the president\u2019s recent threats must be a bluff.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cI think it\u2019s just a negotiating tactic to try to get some compromise,\u201d said Mr. Cuffe. He paused. \u201cI\u2019m hoping that\u2019s the case.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">For local Democrats, however, Mr. Trump\u2019s antagonism of their northern neighbors has added confusion to their discontent with the president.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cAll this stuff about Canada \u2014 I mean, where did it come from?\u201d said Mary Beth Perreira, a retired public health nurse in Hibbing. \u201cIf you have a brain, you know that we\u2019re going to pay for it all.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-12\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">But others have begun to come around to Mr. Trump\u2019s vision.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cI don\u2019t mind them hitting Canada,\u201d said Tim Simpson, a retired truck driver from Hibbing.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Mr. Simpson moved away from the region for a time in the 1980s, after losing his job at a local taconite mine. A political independent, he voted for Mr. Trump in 2016 but not in 2024.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Still, he said the president\u2019s trade-war bluster might be good for the Iron Range.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cI hope it straightens a lot of stuff out, and we do get a lot of them jobs back,\u201d he said. \u201cWe\u2019ve been losing them since the \u201960s, since I was a kid.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/www.nytimes.com\/2025\/03\/30\/us\/politics\/trump-tariffs-canada-minnesota-iron-range.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Once a week, most weeks, the ground in Chisholm, Minn., shudders underfoot. \u201cWhen they blast over here, we can feel<\/p>\n","protected":false},"author":1,"featured_media":16304,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[33],"tags":[5198,239,114,3762,338,1071,2341,1222,469,751,113,111],"class_list":["post-16303","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-us","tag-cleveland-cliffs-inc","tag-customs-tariff","tag-donald-j","tag-great-lakes","tag-international-trade-and-world-market","tag-layoffs-and-job-reductions","tag-mines-and-mining","tag-minnesota","tag-politics-and-government","tag-protectionism-trade","tag-trump","tag-united-states-politics-and-government"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>On Minnesota\u2019s Iron Range, Trump\u2019s Tariffs Could Be Boom or Bust - World News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, 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