China makes way, way too much steel. In 2015, it produced nearly 500 million tons more than it needed. Production of that steel was subsidized by the Chinese government in ways that violate international trade rules, so the price was artificially low. And China suppresses the value of its currency, further falsely reducing the cost of the steel.
It's lights out in Lorain on March 31. The town's steel mill, site of a new electric arc furnace and $120 million investment, had given 1,200 Ohioans good middle-class jobs this time last year. But by April, a relentless avalanche of underpriced Chinese steel will have shoved all but a few of those workers into the street.