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Mexico says steel rerouting curbs are working as US tariff talks advance

Mexico's crackdown on Asian steel transshipments under the USMCA could ease US tariffs on steel, aluminum and autos, a key issue for Mexican producers and investors.

Photo: Mexico Business News

What happened

Mexico is working to ensure that no steel from China or other countries is rerouted through its territory into the United States under the North American trade pact, a senior trade official said on Wednesday. urgent.news+1 Deputy Economy Minister for Foreign Trade Luis Rosendo Gutierrez said the government had tightened traceability measures with industry. urgent.news+1 Mexico has canceled about 1,062 to 1,100 steel mill registrations, many tied to Asia, that authorities found did not exist. Mexico Business News+3 Gutierrez said these measures cut steel imports from Vietnam by up to 80 percent in some months. metal.com+2 The country is pressing Washington for relief from Section 232 tariffs on steel, aluminum and autos. urgent.news+2

Around it

Authorities estimate that curbs on third-party shipments from China, South Korea and India have cut total steel and aluminum imports by about 30 percent, stemming roughly 698.54 million US dollars, or about 13 billion Mexican pesos, of unverified material. metal.com+1 The measures protect domestic steelmakers such as Ternium and ArcelorMittal Mexico, according to coverage of the policy. metal.com About 80 percent of Mexico's exports to the United States already enjoy tariff-free status. Briev

What comes next

US officials have welcomed proposals put forward by Economy Minister Marcelo Ebrard, and Mexico hopes for favorable news in the coming weeks before the end of the year. Briev

Sources

  1. urgent.newsMexico says crackdown on Asian steel shipments is paying off as US tariff talks advance
  2. Mexico Business NewsMexico Intensifies Steel Anti-Triangulation Crackdown
  3. metal.comMexico intensifies steel anti-triangulation crackdown, cancels 1,062 fake mill registrations
  4. Yahoo FinanceMexico says crackdown on Asian steel shipments is paying off as US tariff talks advance
  5. BrievMexico tightens steel traceability, cuts Asian imports as US tariff talks progress | United States

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