Mexican steel association Canacero has stated that the US decision to impose a 25 percent tariff on Mexican steel will seriously affect the steel industry and the entire value chain in North America, putting competitiveness and regional integration at risk.
Prior to this measure, Mexico was exempted from 25 percent tariffs along with some other countries such as Canada. However, Trump noted that there will be no exceptions or exemptions regarding the new tariff, as SteelOrbis reported.
Noting that the steel trade balance between Mexico and the US reflected a surplus of 2.3 million mt in favor of the US at the end of 2024, the association said, “So there is no justification for imposing tariffs on Mexican steel,” while adding that the tariffs threaten 75 percent of Mexican steel exports.
Canacero called on the government to take urgent trade defense measures to protect the Mexican steel industry in the face of the excess capacity in China and noted that it will be necessary to apply reciprocal tariffs on steel products from the US.
Looking at Canada, the 25 percent tariff will be on top of other existing levies on Canadian products, resulting in a total 50 percent tariff. Justin Trudeau, Canadian prime minister, stated that the new tariffs are unacceptable and the country’s response to the US tariffs will be clear, if needed, according to a report by Reuters.