The measure aims to close a loophole that officials said
allowed metals made partly in China to come into the United States duty free.
A
steel facility in San Luis Potosi, Mexico. The Biden administration announced
steps on Wednesday to impose tariffs on Chinese steel routed through Mexico.
Ana Swanson covers trade and
international economics and is based in Washington.
Updated 9:59 a.m. ET
The administration said it would impose
tariffs on imports of Mexican metals that are partially made in China. American
officials said the move would close a trade loophole that has allowed cheap,
state-subsidized Chinese metals to circumvent existing U.S. tariffs.
The United States will now impose a 25
percent tariff on Mexican steel that is melted or poured outside of North
America before being turned into a finished product. Previously, that steel
would have entered the country duty free.
Mexican aluminum coming into the United
States will face a tariff of 10 percent if it contains metal that has been
smelted or cast in China, Belarus, Iran or Russia, said Lael Brainard, the
director of the White House’s National Economic Council.
Mexico, which recently increased its own tariffs on steel and aluminum from certain countries, will require importers to provide more information about where their steel products come from, the announcement said. The changes will take effect immediately.
Officials
in the Biden administration said the United States wanted to protect American
factories that produce steel and aluminum, including those that have recently
received new investments from government funds.