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Investing and Wall Street commentary from CNBC's Jim Cramer

Cramer: Steel producer Nucor the biggest winner on Trump tariffs, a ‘gift’ to investors

CNBC logo CNBC 5/31/2018 Michelle Fox

U.S. steel producer Nucor is the "single biggest beneficiary" of the Trump administration's latest tariffs, CNBC's Jim Cramer said on Thursday.

Stocks took a hit Thursday after President Donald Trump announced steel and aluminum tariffs on the European Union, Mexico and Canada, renewing fears of a trade war.

The U.S. allies quickly struck back by announcing retaliatory measures.

"Whatever else President Trump's tariff decision means for the market, I think you are being a gift here," the "Mad Money" host said of Nucor.

"You can buy the stock of the one real corporate winner from this whole mess," he continued. "I suggest you take it before someone else does."

Nucor, the largest steel producer in the U..S., applauded the tariffs when they were first announced by Trump in March. At the time, Canada, Mexico and the EU were given temporary exemptions.

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CEO John Ferriola told Cramer in March that since 1985, one-third of the U.S. steel industry has been wiped out. It has been caused, in part, by countries like China "dumping" steel, or keeping prices artificially low by flooding the market with supply.

"We're simply leveling the playing field, treating them the way that they have been treating us for over 30 years," Ferriola said.

Cramer said Nucor has done everything it can to lower the cost of its raw product and make itself more efficient. In fact, he called it the "most efficient steelmaker on Earth."

However, while the Chinese government subsidizes its steelmakers, the U.S. Congress would never authorize the same here, he noted.

"If the president wants to protect our steel industry, these tariffs are the best he can do," Cramer said.

Shares of Nucor barely moved on Thursday, closing 0.14 percent higher at $62.19, which the "Mad Money" host called "insane."

Nucor didn't immediately respond to CNBC's request for comment.

Disclosure: Cramer's charitable trust owns shares of Nucor.

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