The U.S. and Mexico have taken joint action to prevent China and other countries’ steel and aluminum exports from evading tariffs before entering the U.S. market.
U.S. Senate Majority Leader Charles Schumer (D–N.Y.) on Wednesday applauded the Biden administration “heeding his calls” for such action, his office said.
Schumer had discussed the issue during a visit to Nucor in Auburn back on May 20, calling it the “steel surge” from China being funneled through Mexico to avoid tariffs.
The senator explained when cheap, Chinese-made steel products flood the market through Mexico, it hurts Upstate steel producers, like Nucor in Auburn and Alcoa in the North Country, which “cannot compete with this unfair dumping.” Schumer said the action by the U.S. and Mexico “represent a major step forward to leveling the playing the field” for Upstate industry and workers.
“For years, America’s steel & aluminum industry has been harmed by artificially-cheapened products from China flooding the market and avoiding U.S. tariffs by laundering through Mexico. When I visited Nucor in Auburn earlier this year, I heard first-hand how the government-subsidized steel surge from China was devastating U.S steel manufacturers and workers,” Schumer said in the announcement. “This new and welcome action from the Biden administration is a major step forward to level the playing field for steel & aluminum producers in Upstate NY and stopping the Chinese Communist Party’s unfair trade practices. From Alcoa’s factory in the North Country to Nucor in Central NY, this news will keep America’s supply of steel & aluminum strong and made in places like Upstate NY.”
As the Associated Press (AP) reported, the Biden administration is imposing tariffs on steel and aluminum shipped from Mexico that were made elsewhere — an attempt to stop China from avoiding import taxes by routing goods through one of the United States’ closest trading partners.
Lael Brainard, director of the White House National Economic Council, said the tariffs announced Wednesday will be levied as part of an agreement with Mexico through section 232 of the Trade Expansion Act, which applies to imports that could threaten U.S. national security.
There will be a 25 percent tariff on steel not melted or poured in Mexico and a 10 percent tariff on aluminum, the AP reported.