Donald Trump has promised to bring jobs back to the United States and he is already fulfilling that promise by simply announcing that it will happen.
The United States Steel Corporation (US Steel) could be looking to restore up to 10,000 jobs due to the oncoming Trump presidency. The announcement that was made by CEO Mario Longhi is based on the promise of tax and regulation cuts for the failing American industry.
During an interview with CNBC, Longhi gave an impressive outlook that supports the increased optimism being witnessed across the board in the stock markets. The rise in stock prices is in anticipation of the coming four years under Trump.
“We already structured to do some things, but when you see in the near future improvement to the tax laws, improvements to regulation, those two things by themselves may be a significant driver to what we’re going to do,” Longhi stated. “I’m more than happy to bring back the employees that we were forced to lay off during the depressing period.”
U.S. Steel has had to cut jobs and suspend plant operations in the country as it has tried to keep a lid on costs to tackle a steep fall in steel prices due to a global surplus. The company orginally had about 21,000 employees in North America as of December 31st, down from about 28,000 in 2007.
“Market conditions will dictate if, when and how many employees we can recall,” a U.S. Steel spokeswoman said on Wednesday.
US Steel is hoping to accelerate its investments in the United States in the near future as promised improvements to the regulation and tax laws would significantly drive growth, Longhi said in the CNBC interview.
The rest of corporate America is also cheering Trump’s promises of less regulation. Longhi said regulation has a role to play, but believes it “has to be done smartly.”
“When you get into some situations where we’re being asked to control some substances in water that are far lower than what nature naturally offers, that’s irrational,” he said.
“There was a point in time in the past couple years that I was having to hire more lawyers to try to interpret these new regulations than I was hiring … engineers. That doesn’t make any sense.”
Trump put forth a plan in September to simplify the tax code and slash the corporate tax rate to 15 percent from 35 percent, a dramatic reduction in overhead.
Trump has not only upset the political arena, he has given a new life to American stocks and investors are excited again. The most amazing part is that all it took was for President-elect Trump to say it was going to happen.