Mexico Challenges New U.S. Tariffs on Steel and Aluminum

Mexico's government is questioning the fairness of a 25% tariff imposed by the U.S. on its steel and aluminum imports. Mexican Economy Minister Marcelo Ebrard argues the tariffs are unjustified, given the U.S.'s trade surplus in steel with Mexico. Mexico might retaliate with its own tariffs.

In response to a 25% tariff ordered by U.S. President Donald Trump on Mexican steel and aluminum imports, Mexico's government has raised concerns over the fairness of the measure. Mexican Economy Minister Marcelo Ebrard argued that the tariffs are unjustified since Mexico imports more American steel than it exports.

Data indicate a decline in Mexican steel exports to the U.S. since 2022, while imports from U.S. manufacturers have risen. During a press conference with Mexican President Claudia Sheinbaum, Ebrard criticized the tariffs as contrary to the U.S.'s economic interests, given the trade surplus it enjoys in the sector.

The tariff, which will take effect on March 12, risks igniting a trade war with Mexico, a significant U.S. trading partner. Ebrard plans to discuss the matter with U.S. officials soon, while potential reciprocal tariffs from Mexico remain under evaluation. The announcement has already impacted the Mexican stock market, with shares of major firms declining.

(With inputs from agencies.)