The Steel Crisis – WHY President Kennedy Acted - Gene H Hogberg - June 1962

Gene H Hogberg

President Kennedy acted fast to force steel industry to back down on its announced price increase. What prompted such drastic action? Behind this question lies the startling challenge to the job of every American! Just four days after signing a "noninflationary" contract with the Steelworkers Union, the giant U.S. Steel Corporation startled the business world with a $6 a ton price increase. Other firms immediately started following suit. The announcement hit Washington like a bomb! President Kennedy was furious! The Government, which had helped engineer the peaceful labor pact, had counted on the steel companies to hold the line on prices. The President denounced Big Steel's action as inflationary and opposed to the public interest. - Information Supplied By: Herbert W Armstrong Library