Cape business lays off 4 in response to tariff-affected Poplar Bluff nail company

SEMO Box Co. in Cape Girardeau will lay off four workers in response to reduced business from Poplar Bluff, Missouri, nail manufacturer Mid Continent Nail Corp., co-owner Tim Powderly said Monday.

In an emailed statement, Powderly said the four jobs are temporary positions, and are being cut because of the Poplar Bluff plant slowdown. The slowdown was caused by recent tariff changes enacted by President Donald Trump�s administration. Trump announced a 25 percent tariff on steel and a 10 percent tariff on aluminum, which took effect June 1.

According to a story by the Daily American Republic newspaper in Poplar Bluff, Mid Continent laid off 60 of its 500 employees earlier this month, and, said the company�s executive vice president George Skarich, another 200 layoffs could come by the end of July.

�I don�t believe the administration had this in mind when they implemented the tariff,� Powderly said in the statement. �They were just trying to create more manufacturing jobs here at home. We all hope the exemption process on the tariff is expedited as quickly as possible so the Midwest manufacturers of steel products can get back to work, which in turn helps everyone.�

SEMO Box Co., a 48-year-old company, employs about 35 workers, Powderly said.

The relationship with Mid Continent Nail started more than 25 years ago.

�We have grown along with them. When they increased their manufacturing, ours increased as well,� he said.

Elizabeth Heaton, spokeswoman for Mid Continent, said Wednesday the company has applied for tariff exclusions for the wire it uses to manufacture its nails � a move that would stop Mid Continent�s job losses.

�We understand there is a huge backlog of similar requests, but if President [Donald] Trump were to approve the exclusion requests, these 500 jobs would be saved,� Heaton said.

mniederkorn@semissourian.com

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