Mexico’s Deputy Minister of Economy and Trade, Luis Rosendo Gutiérrez Romano, stated that a proposal to be submitted as part of negotiations on steel tariffs aims to bring together steel companies from both Mexico and the U.S., along with trade officials from both countries. Gutiérrez noted that the committee’s goal is to create a regional solidarity mechanism by including private sector representatives in the process, rather than relying solely on government-level negotiations. He also mentioned that Canada is expected to be included in the process.
One of the committee’s main tasks will be to evaluate policies aimed at increasing the purchase of U.S. steel to offset Mexico’s imports from Asia. In this context, raising tariffs on Asian steel imports into Mexico is also being considered. “This is something the United States views positively. As a region, we need to strengthen ourselves and develop a common policy,” said Gutiérrez, emphasizing the need for a unified trade approach that protects the interests of all three countries.
To address U.S. concerns, the Mexican government has shut down 1,062 fake “ghost” steel factories, including those linked to China (40%), India (10%), and Iran (6%). Most of these were set up to disguise foreign imports.
Mexico is also working on new policies to boost domestic consumption. One proposal on the table is requiring the construction sector to commit to using domestic steel to help offset an expected 5–10% drop in exports to the U.S.
These proposals come at a critical time when Mexico and the U.S. are engaged in talks over steel and aluminum tariffs of up to 50%. Such tariffs have already led to the cancellation of major investments, such as Brazilian producer Gerdau SA’s planned USD 600 million specialty steel plant in Mexico.
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