Steel in Pittsburgh, Cars in Detroit, Tires in Akron; Mostly Dead but Making a Comeback

Two part story, Part I some background and Part II Steel returning to Aliquippa

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You all know the story by now. Pittsburgh was the Steel Capital of the World. Detroit made the majority of cars and most of the tires were made in Akron Ohio. So what do you think happened? Labor Arbitrage Labor arbitrage is the practice of hiring workers in a country with lower labor costs to perform tasks that could be done by workers in a country with higher labor costs. This can be done by outsourcing work to a foreign company or by hiring workers from a foreign country to work in the home country.

Labor arbitrage can be a controversial practice. Some people argue that it is unfair to American workers who are displaced by foreign workers who are willing to work for lower wages. Others argue that labor arbitrage is a necessary part of the global economy and that it helps to keep prices down for consumers.

There are a number of factors that companies consider when deciding whether or not to engage in labor arbitrage. These include the cost of labor in different countries, the quality of the workforce, and the time and distance between the countries.

Companies that engage in labor arbitrage can benefit from lower labor costs, which can lead to higher profits. However, they may also face challenges, such as language barriers, cultural differences, and the risk of fraud.

Overall, labor arbitrage is a complex practice with both benefits and challenges. Companies that are considering engaging in labor arbitrage should carefully weigh the pros and cons before making a decision.

Here are some of the pros and cons of labor arbitrage:

Pros

• Lower labor costs

• Access to a wider pool of talent

• Increased flexibility

• Reduced risk of labor strikes

Cons

• Language barriers

• Cultural differences

• Time zone differences

• Increased risk of fraud

• Loss of jobs in the home country

Mainstream Media lies and talking points on Why US lost Steel, Car, and Tire market share?

You can also apply these same general principles to other industries like appliances, TVs, computers, mobile phones, and other finished goods.

There are a number of reasons why the United States lost manufacturing jobs in industries like steel, cars, and rubber. Some of the most important factors include:

• Globalization: The rise of globalization has led to increased competition from foreign manufacturers, who often have lower labor costs. This has made it difficult for some American manufacturers to compete, and has led to job losses.

• Automation: Automation has also played a role in the decline of manufacturing jobs. As machines have become more sophisticated, they have been able to do the work of more and more people. This has led to job losses in many industries, including manufacturing.

• Changes in consumer demand: Consumer demand has also changed over time, leading to job losses in some manufacturing industries. For example, the demand for steel has declined in recent years, as more and more buildings are made from concrete and other materials. This has led to job losses in the steel industry.

• Government policies: Government policies can also play a role in the decline of manufacturing jobs. For example, tariffs on imported goods can make it more expensive for American manufacturers to compete with foreign companies. This can lead to job losses in the manufacturing sector.

The decline of manufacturing jobs has had a significant impact on the United States economy. It has led to lower wages, increased income inequality, and a decline in the middle class. It has also led to a decline in the number of manufacturing jobs in the United States, which has had a negative impact on the economy as a whole.

There are a number of things that can be done to address the decline of manufacturing jobs in the United States. These include:

• Investing in education and training: Investing in education and training can help workers develop the skills they need to compete in the global economy. This can help to prevent job losses in the manufacturing sector.

• Supporting research and development: Supporting research and development can help American manufacturers develop new products and technologies that can help them compete with foreign companies. This can help to create new jobs in the manufacturing sector.

• Enacting trade policies that are fair to American workers: Enacting trade policies that are fair to American workers can help to protect American jobs from foreign competition. This can help to prevent job losses in the manufacturing sector.

• Investing in infrastructure: Investing in infrastructure can help to create jobs in the manufacturing sector. This is because infrastructure projects often require the use of manufactured goods.

The decline of manufacturing jobs is a complex issue with no easy solutions. However, by taking steps to address the factors that have contributed to this decline, the United States can help to create a more prosperous future for its workers.

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Is Steel going to be returning to Pittsburgh soon? Yes, steel manufacturing is starting in Aliquippa, Pennsylvania. In May 2023, 72 Steel, a New York-based steel manufacturer, announced plans to build a $218 million state-of-the-art fabrication plant in Aliquippa. The plant is expected to create 300 jobs and is scheduled to be completed in 2024.

The plant will be located on the site of the former J&L Steel Aliquippa Works tin mill, which closed in 1986. The closure of the mill was a major blow to the Aliquippa community, which had a population of over 40,000 people at its peak.

The opening of the new steel plant is a sign of hope for the Aliquippa community. The plant will create jobs and generate economic activity, which will help to revitalize the community.

The plant is also a sign of the resurgence of the American steel industry. The American steel industry has been struggling in recent years due to competition from foreign steelmakers. However, the industry has been making a comeback in recent years, and the opening of the new plant is a sign of this trend.

The opening of the new steel plant is a positive development for the Aliquippa community and the American steel industry. The plant will create jobs, generate economic activity, and help to revitalize the community. It is also a sign of the resurgence of the American steel industry.

photo description - Chuck Betters owns the land for the Brooklyn based Steel company that will make rebar