Mexico must evaluate ‘reciprocal measures’ to Section 232 outfall, Canacero says

The Mexican government must look into the reciprocal sanctions it can take against the United States if it is included in action resulting from that country’s Section 232 investigation into steel imports, national steel association Canacero has said.

“If [Mexico] is included in measures [resulting from the Section 232 investigation], we are obliged as a country to respond immediately with equivalent measures against imports from the USA,” the association said on Sunday February 18.

The US Secretary of Commerce, Wilbur Ross, said that his government is considering measures including tariffs and quotas, following his department’s Section 232 investigations into alleged national security issues related to steel imports.

The alternatives recommended to the US government by the Commerce Department are a global tariff or quota on steel imports, or tariffs on a set of 12 countries.

The options of global tariffs or quotas suggested by the department do not contain exemptions for the US’ trading partners in the North American Free Trade Agreement (Nafta) - Canada and Mexico.

Canacero warned that any measures taken by the US could affect Nafta renegotiations.

“Mexico should not be included in any [measures arising] from the Section 232 investigation… It does not represent any risk to US national security, because our industry does not receive subsidies and it is not a part of the global excess production capacity,” the organization said.

Last year, the US had a steel trade surplus of $3.40 billion with Mexico, while the total value of US steel exports to Mexico reached $9.80 billion in the same period, according to Canacero figures.

What to read next
Chromite prices rose further in the two weeks to Tuesday May 31 on support from cost pressures and logistical issues in South Africa
UG2/MG chrome ore prices experienced major declines in the week to Tuesday July 12, dropping by $15 per tonne week on week, as the market saw the beginnings of a break in the continuing stalemate of recent weeks
The European charge and high-carbon ferro-chrome benchmark for the third quarter of 2022 has slumped by 16.7% from the previous quarter’s settlement to $1.80 per lb
Executives at major flat-rolled steel producers in the United States discussed three common themes during their companies’ earnings calls for the second quarter of 2022, sharing views on a potential recession, affects from recent government policy changes and trends in steel raw materials
Following a consultation period and market feedback, Fastmarkets will switch its Houston ferrous scrap price series to a consumer buying assessment on January 1, 2023, from its current methodology as a dealer selling assessment.
Austrian aluminium producer AMAG and German automotive manufacturer Audi have developed a recycled aluminium material for vehicle wheels to be put into series production, it was announced on Wednesday, August 3.
We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
Proceed