Mexico to Formally Request Tariff Exemption on Friday
Mexico announced it will formally request an exemption from the 50% tariffs recently imposed by the United States on imports of steel and aluminum. The tariffs, signed into effect by President Donald Trump, are part of a strategy to protect what the administration considers strategic industries.
Mexican Economy Secretary Marcelo Ebrard said on Tuesday that Mexico would submit the request on Friday, calling the measure “unjust, unsustainable, and inconvenient” for both countries’ economies.
Mexico Highlights U.S. Steel Surplus to Oppose Tariffs
According to Ebrard, the tariff lacks economic logic because the United States actually has a trade surplus with Mexico in steel. “There’s no reason to tax a product where you have a surplus,” he stated, noting that such a measure is hard to justify or maintain in the long term.
At the end of 2024, the U.S. steel surplus with Mexico totaled approximately 2.4 million metric tons, according to industry data.
Tariffs Target Mexico, Canada, and Brazil
Trump’s new order increases existing tariffs from 25% to 50%, specifically targeting imports from Canada, Brazil, and Mexico. These countries are major suppliers to the U.S., particularly for sectors such as automotive manufacturing and construction.
Despite avoiding earlier reciprocal tariffs applied to multiple nations, Mexico’s steel and automotive sectors remain vulnerable under the latest trade measures.
Most U.S.-Mexico Trade Still Covered by USMCA
Mexico emphasized that around 90% of its exports to the United States remain tariff-free under the USMCA agreement, which is due for review between September and October.
President Claudia Sheinbaum stated in late May that her administration is still in active negotiations with the U.S. to address the rising trade tensions and protect Mexico’s industrial exports.
