Baltimore Sun

Trump’s Rust Belt revival fades

Recent data shows jobs disappeari­ng in crucial states

- By Josh Boak and John Seewer

TOLEDO, Ohio — President Donald Trump once promised that coal and steel would be the beating heart of a revived U.S. economy — a nostalgic vision that helped carry him to victory three years ago in the industrial Midwest.

But a year away from Election Day, that promised renaissanc­e is not materializ­ing and both sectors are faltering in ways that are painfully familiar and politicall­y significan­t.

Recent data shows manufactur­ing jobs are disappeari­ng across Pennsylvan­ia, Michigan and Ohio, states crucial to Trump’s reelection chances.

On Tuesday, Murray Energy, a major mining firm with close ties to the president, became the latest of many coal companies to file for bankruptcy this year, rattling communitie­s across Ohio, West Virginia and Kentucky. The news followed recent layoffs at a prominent steel manufactur­er in northeaste­rn Ohio and General Motors’ final decision this fall to shutter its massive plant at Lordstown, Ohio.

The turmoil in the manufactur­ing and mining sectors threatens to undermine Trump’s claim to a booming economy — the bedrock of his and his Republican allies’ campaign strategy — in places where it matters most. While Trump’s economy is benefiting high-tech manufactur­ing and energy sectors in other regions, the manufactur­ing slump across the Rust Belt may test whether Trump can retain his appeal to blue-collar workers without having fully delivered on his promise to fatten their bank accounts.

“I don’t think that Ohio is just a lock in the Republican’s column, nor do I think that blue-collar voters are settled on who they’re likely to select,” said Robert Alexander, a political scientist at Ohio Northern University. “There is a lot of economic angst still in the state.”

Recent elections haven’t shown that angst to be aimed at Republican­s. After Trump won Ohio by 8 percentage points — the largest margin of any presidenti­al candidate since 1988 — Republican­s fared better in Ohio than in many other states in l ast year’s midterms, nabbing every statewide office but one. Their winning formula was based on overwhelmi­ng support from working-class, white voters in small communitie­s where a single company can anchor the local economy.

Murray Energy is based in St. Clairsvill­e, Ohio, a small city near the West Virginia and Pennsylvan­ia borders in a county that voted for Trump over Democrat Hillary Clinton by a margin of 40 percentage points. But the company’s footprint is far larger, including 17 mines across Alabama, Illinois, Indiana, Kentucky, Pennsylvan­ia, Utah and West Virginia.

The company’s former CEOBobMurr­ay is a Trump donor and advocate for his company’s interests. Murray openly pressured Trump to issue an emergency order that would have exempted his struggling company from environmen­tal regulation­s he said were burdensome. Trump flirted with that idea but never approved it.

Murray said Tuesday the company was filing for Chapter 11 bankruptcy, a restructur­ing that puts at risk the incomes, pensions and health care benefits of 7,000 workers.

Democratic presidenti­al candidate Elizabeth Warren, a bankruptcy expert, seized on the news as evidence of Trump failing his voters.

“He made promises to working people all across this country that he would be there on their behalf. Instead he’s been there for the lobbyists, he’s been there for the giant corporatio­ns, he’s been there to help make the rich richer and leave everyone else behind,” she said.

Trump bounded into office promising to bring back “beautiful clean coal” and deliver a victory for every factory worker. The message helped him pull out victories in Michigan, Pennsylvan­ia, Wisconsin and Ohio.

For the first two years of his presidency, Trump oversaw an economic recovery that extended across sectors and regions — adding manufactur­ing and factory jobs in the Rust Belt and beyond.

But recent signs show that trajectory shifting downward quickly, fueled by a slumping global economy and the trade wars escalated by the Trump administra­tion.

So far this year, Ohio has shed 2,400 factory jobs. Michigan has lost 6,200. Pennsylvan­ia has 9,100 fewer manufactur­ing workers. West Virginia employers have cut 400 mining jobs. And Kentucky has let go of 600 mine workers.

General Motors struck a devastatin­g blow to Ohio by ending more than 50 years of car manufactur­ing at assembly plant near Youngstown, a labor stronghold where Trump surprised Democrats by winning half the vote in 2016.

Nearly 950 manufactur­ing jobs in Pennsylvan­ia were lost in May when the cabinetmak­er Wood-Mode shuttered. Bimbo Bakeries closed a plant in July in northern Pennsylvan­ia that cost 151 jobs, according to filings with the state.

Earlier this month, Canton, Ohio-based Timken Steel ousted CEO Tim Timken, also a Republican donor, as the company’s stock has plummeted over the past year.

Timken received $4 million in cash as severance. The company eliminated 55 positions in July in order to save $7 million annually next fiscal year, according to filings with the Securities and Exchange Commission.

Separately, 250 Timken Steel employees so far have received extended layoff notices, said Bob Harper, president of United Steelworke­rs 1123. Factories have been idled at times due to a lack of orders.

Each job at Timken Steel supports about five other jobs in the community, said Harper.

“Things are going to get worse,” he said. “We’re going to get hurt.”

Timken’s wife is Ohio Republican Party Chairwoman Jane Timken, a chief cheerleade­r for Trump’s economic stewardshi­p in the state. Asked about the layoffs and Ohio’s economy, Jane Timken issued a statement touting Trump’s record.

“President Trump is committed to bringing good paying manufactur­ing jobs back to Ohio and the Midwest,” she said, citing statistics largely shaped by Great Recession layoffs that preceded Trump by seven years. “Since he became president, he has brought over 14,500 manufactur­ing jobs back to Ohio. Compare that to President Obama who only brought 11,700 manufactur­ing jobs to Ohio during his entire administra­tion. Democrats can cry economic wolf, but Ohioans know the truth.”

It’s far from clear that Ohioans are poised to blame Trump for the economic blows.

In Ohio, Dan Wade has worked at Timken Steel for the past 19 years. He was temporaril­y laid off last week, but says he expects to go back in a few days. He blames the company’s troubles on management, not Trump.

“I’m going to vote for him again. I like him, I like his attitude,” Wade said.

Timken retiree Joe Hoagland, who didn’t vote Trump and won’t in 2020, said he sees no evidence that Trump has been a boon for manufactur­ing.

“I don’t see any revitaliza­tion,” Hoagland said.

 ?? ELEONORE SENS/GETTY-AFP ?? President Trump’s goal to revitalize the Rust Belt has hit a snag. In Lordstown, Ohio, the massive GM plant there is closing.
ELEONORE SENS/GETTY-AFP President Trump’s goal to revitalize the Rust Belt has hit a snag. In Lordstown, Ohio, the massive GM plant there is closing.

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