Behind the scenes, companies fight Trump on US steel tariffs

American manufacturers, energy companies and retailers reliant on cheap steel are quietly lobbying against President Donald Trump's desire to impose tariffs on steel imports ahead of possible decision by the U.S. Commerce Department next week.

Honoring a promise made in the 2016 election campaign, in April this year Trump initiated a "Section 232" review of the steel industry, a provision in the Trade Expansion Act of 1962 allowing for the imposition of tariffs or quotas on imports if they threaten national security. The provision has only been used to review imports twice before.

The Commerce Department could issue findings on the matter as early as next week, a decision that three lobbyists say has been delayed due to debate inside the administration.

Steel producers in the U.S., like U.S. Steel Corp and AK Steel stand to benefit from protectionist tariffs which would enable them to raise their prices.

But U.S. manufacturers and energy companies who use steel want to keep their costs down and say tariffs could costs jobs in their industries, while retailers need cheap steel for many facets of their business including shelving in their stores and warehouses, and to sell to consumers.

Any U.S. tariffs may also result in damage to unrelated industries if other countries retaliate by also imposing tariffs on American exports in sectors such as agriculture.

"Our member companies have quietly had these conversations with both members of the administration but also with the Hill," said Hun Quach, the vice president for international trade at the Retail Industry Leaders Association.

Those in favor of approving new tariffs include not only steel manufacturers, but some aligned unions.

They have allies...