Washington, D.C. – On Friday, May 17, 2019, the United States announced the resolution of tariffs imposed on steel imports from Canada and Mexico. Effective May 19, 2019, tariffs imposed by the United States on steel from Canada and Mexico and the retaliatory tariffs imposed by those countries on U.S. goods were removed.
After a decade of surging steel imports into the U.S., President Trump instituted section 232 steel tariffs and quotas to preserve the long-term health of the domestic steel industry and U.S. national security. A joint statement released by the three countries calls for aggressive monitoring and anti-surge mechanisms meant to prevent transshipments of offshore steel and stop unfairly traded steel imports throughout the NAFTA region.
“The administration’s comprehensive 232 actions are working. It is important that this resolution maintains strong enforcement measures, as to not undermine the advances made by domestic steel producers during this short period of relief,” said SMA President Philip K. Bell. “Tax reform, regulatory certainty and 232 tariffs have provided domestic steelmakers with a level of confidence allowing for capacity investments and job creation. It is critical that we lock in these benefits to the domestic industry by maintaining a rigorous 232 program for steel.”
Bell added, “SMA continues to support the administration’s efforts to improve free and fair trade in North America by modernizing trade rules for steel producers and other manufacturers in the region. We are hopeful that a primary benefit of the 232-tariff resolution will help clear a path in Congress for immediate passage of the new U.S.-Mexico-Canada Agreement.”
SMA is the largest steel industry trade association in the United States, primarily representing North American Electric Arc Furnace (EAF) steel producers. EAF steelmakers account for almost 70 percent of domestic steelmaking capacity using an innovative, 21st-century production process that is less energy intensive and has a lower carbon footprint than blast furnace steelmaking. Through EAF steel production, more steel is recycled than aluminum, paper, and plastic combined. SMA’s 25 EAF producer members and over 100 associate members have operations in 43 states. For more information check out our website at www.steelnet.org or our Facebook page.