Investors “have to look at the overall economy” and not focus so much on President Donald Trump’s tariffs on steel imports when considering whether to invest in Nucor, the country’s largest steel producer, its CEO told CNBC on Tuesday.
“We hear a lot of talk about the tariffs and, certainly, the tariffs are playing a role in the performance that the steel industry, and Nucor in particular, is having this year,” John Ferriola, the steelmaker’s chairman and CEO, told Cramer. “But the real driver for the performance of the industry and Nucor is the economy, and the economy remains strong.”
The fate of U.S. steelmakers has been in question since the president’s tariffs came into effect, as some raised concerns that they could raise the price of steel globally to unsustainable levels.
But if you ask Ferriola, a strong economy, higher demand and stable end markets far overshadow the tariffs’ effects on his company’s business.
Click here to watch and read more about the full interview.