How The China Trade War May Affect Iron & Steel Door Sales In 2020

Most of us know that the US and China—two of the largest economies in the world—have been locked in a head-to-head trade war, imposing tariffs on billions of dollars’ worth of goods.

While China has been accused of dealing in unfair trading practices and intellectual property theft by the US President, the US faces fire due to China’s perception that the US is trying to sabotage its economic growth and potential rise as a global economic power.

With ongoing negotiations, both companies signed a preliminary deal earlier in January, but many of the prickliest issues remain unresolved.

How Is The Trade War Affecting The Steel Industry?

The steel industry has been on a steady rise for quite a while, after coming down from a high-risk to a relatively stable, medium-risk position. However, with the raging trade war, economists have started to frown when asked about predictions for 2020.

The underlying statement that no one wants to admit?  Steel could be in trouble.

According to a study conducted by RapidRatings, the US steel industry has made room for better profits margin due to surging tariffs; however, due to increased material costs, the financial health of steel vendors across the US is at high risk.

Products That Will Be Subject To Increased Tariff

When the 10% tariff originally went into effect in September, a list of goods that were to be subjected to the new rates was released by US Trade Representative Robert Lighthizer.

Following a public comment period, around 297 items were removed from this list to produce a new and revised one, which was released much later in July. Some of the products that were removed included common industrial chemicals, health and safety products, and certain types of child-safe furniture, among other categories.

But even after these removals, around 5,745 full or partial tariff lines still made it to the final list that came to around $200 billion worth of imports from the Chinese market. Among the many items that were included on the list were copper, nickel, aluminum, iron, steel and products derived from these metals. 

Why Iron Doors May Well Be The New Gold

So what does all this mean?

Here’s a rundown.

Since major iron and steel businesses are likely to increase the prices of products to cover import costs, wrought iron and steel products like doors are going to become more expensive to install.

This is why it’s smart to look at wrought iron and steel doors from an investment point of view. Given the current situation of the steel industry, it’s worthwhile to increase the value of your house for potential future sales while you still can.

Having said that, you don’t have to compromise on looks just to increase the value of your home. We understand that the right door can make or break the overall look and design of your house.

This is why, at Pinky’s Iron Doors, we’ve got a huge collection of wrought iron and steel doors to choose from. The collection includes various designs and themes that add the necessary flourish to your house while keeping security in check.

Get in touch with us today if you’re looking to buy a door online.

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