Trump’s Steel Tariffs Hit Maryland Factory Hard

AFP/APP

Belcamp, United States: At Independent Can’s factory in Belcamp, Maryland, metal containers adorned with snowmen and sleighs roll off the production line in the summer heat — but tensions are rising inside the facility as steep steel tariffs imposed by President Donald Trump threaten the company’s future.

“We’re living in chaos right now,” says CEO Rick Huether, 73, who began working at the family-owned firm when he was just 14. Determined to keep the business afloat for future generations, Huether is now grappling with Trump’s latest move — doubling tariffs on imported steel and aluminum from 25 to 50 percent since returning to office in January.

Tinplate Shortage

Independent Can manufactures containers for cookies, coffee, dried fruit, and milk powder using tin-coated steel to prevent corrosion. But the U.S. lacks sufficient domestic production to meet demand.

“In the United States, we can only make about 25 percent of the tinplate required,” Huether said. “That forces us to import around 70 percent of our steel.”

Although he supports strengthening U.S. manufacturing and feels globalization has “gone almost a little too far,” Huether is critical of Trump’s inconsistent tariff strategy — including duties on materials not produced domestically.

No Layoffs, But Price Hikes Loom

The company employs nearly 400 people across four locations and is not planning layoffs — for now. However, one plant in Iowa was shuttered last year, partly due to earlier steel tariffs during Trump’s first term.

With tariffs now at 50 percent, Huether anticipates needing to raise product prices by over 20 percent. “Tinplate is a significant part of our cost structure,” he explained.

Some customers have already slashed orders by 20 to 25 percent due to economic uncertainty. While others are showing renewed interest in American-made goods, Huether is cautious, citing lessons from the pandemic.

“During Covid, when China shut down, our business soared 50 percent,” he said. “But once things reopened, those same customers went right back to China.”

To avoid a repeat, he now insists on two-year contracts from new buyers.

Despite the challenges, Huether remains hopeful for his nearly century-old company. “I think our business will survive,” he said. “But it’s a daily struggle to figure out what we’ll be selling in the next six months.”