The recent decision of the government of USA to impose new tariffs on steel and aluminum Chinese goods sent through Mexico have generated great concern in the Mexican industrial sector.
Alejandro Malagón Barragán, president of the Confederation of Industrial Chambers (Concamin), warned that this measure represents a “very strong impact” on the national industry.
“For us, this is a very strong impact. We ask for a little patience while we analyze in detail the decree issued by the United States,” said Malagón Barragán at the end of his participation in the 84th National Congress of customs agents of CAAAREM. The industrial leader emphasized the need to fully understand the implications of this new tariff policy.
The measure, announced by the White House, imposes tariffs of 25 percent on Steel from Mexico that has not been melted and poured in Mexico, the United States or Canada. It also establishes a 10 percent tariff on aluminum melted in China, Russia, Iran or Belarus that arrives through Mexican territory.
Malagón Barragán pointed out that the impact of these tariffs extends beyond raw materials, since “it affects not only steel and aluminum, but also finished products that incorporate these materials.”
He said that this situation has put various sectors of the Mexican industry on alert, especially the automotive and auto parts sector.
The president of Concamin stressed that, although there is concern, the industrial sector remains “busier than worried.” In this regard, he mentioned that the Mexican Ministry of Economy has shown willingness to review the situation and seek solutions.
“We know that the Ministry of Economy is willing to carry out the review and see what we are going to do, because this cannot be left as something that is here to stay,” said the industrialist, highlighting that it is difficult to accurately calculate the economic impact of these tariffs.
“It is difficult to make the exact calculation because you have to understand the lines that appear in the decree. For example, they can affect auto parts, which have a mixed composition of steel, plastic and aluminum.”
