Trump tariffs ‘manageable’ for Wichita so far

photo by: AP Photo/Andrew Harnik, File

In this July 19, 2018 file photo, President Donald Trump speaks before signing an Executive Order that establishes a National Council for the American Worker during a ceremony in the East Room of the White House in Washington. Trump said he’s willing to hit all imported goods from China with tariffs, sending U.S. markets sliding before the opening bell on Friday, July 20. In a taped interview with the business channel CNBC, Trump said “I’m willing to go to 500,” referring roughly to the $505.5 in goods imported last year from China.

WICHITA — More than a month after tariffs were issued by President Donald Trump’s administration on imported raw materials and finished goods, Wichita manufacturers said they’re holding their own.

Trump’s tariffs on imported steel and aluminum from China, Canada, Mexico and the European Union so far aren’t having a notable impact on small aircraft suppliers, like McGinty Machine Co., or original equipment manufacturers, like RV Products, the Wichita Eagle reported.

“We’re not seeing a big effect on the bottom line,” said Don McGinty, who owns the 70-year-old company.

The tariffs on steel and aluminum took effect June 1, followed by a round of tariffs aimed at Chinese goods this month.

Between the imposition of retaliatory tariffs from those countries and a growing list of the tariffs the U.S. plans to impose on thousands of other China imports, other Wichita manufacturing executives worry about what that will mean for their companies in the long term.

“Clearly tariffs could impact us,” said Tom Gentile, CEO of Spirit AeroSystems. “We’re one of the largest users of aluminum in the world because we make so many metallic aircraft still, but the tariffs on the goods themselves is not necessarily material. It’ll be several million dollars but that will be manageable.”

Gentile said he’s hopeful for a resolution so the tariffs don’t negatively impact the commercial airplane business.

“The bigger concern is if those tariffs trigger a trade war,” he said. “And that you start to get some slowdown in traffic or movement of goods and people between regions. And that would be much more concerning.”

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