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Eastern Iowa company says lay-offs due to Trump trade war

An eastern Iowa factory plans to lay off workers, reduce production and delay expansion plans in response to tariffs imposed by President Donald Trump's administration on steel imported from Canada. (MGN Online)

(AP) - An eastern Iowa factory plans to lay off workers, reduce production and delay expansion plans in response to tariffs imposed by President Donald Trump's administration on steel imported from Canada.

The Quad-City Times reports that the Black Cat Wear Parts factory in DeWitt has confirmed temporary layoffs of 10 of its 17 production employees this week.

Plant Manager Josh Daniel says he hopes to rehire the employees, depending on future negotiations within the trade dispute.

Daniel says the factory has also scaled back about 80 percent of its production capacity. The facility will send around 90 tons (82 metric tons) of monthly steel manufacturing to Canada, where the company is headquartered.

He says the tariffs have halted the company's expansion plan. The DeWitt branch had purchased another location this year.

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