The coalition for prosperous America (CPA), an organization that represents various American industries, supported the measure, since it was an expected action for a long time.
“It will protect US manufacturers and workers from the devastating increase in foreign imports, particularly from Mexico, which has affected the national industry,” according to the CPA.
American Aceres entrepreneurs said that the increase in steel imports put around one million jobs in the country, so it was necessary to put tariffs.
The concern focuses on states such as Ohio, Pennsylvania, Indiana, Michigan and Illinois, where the steel industry continues to play a key role in the economy. Currently, this sector uses more than 143,000 workers directly and generates more than one million indirect jobs throughout the country.
According to Zach Mottl, president of the CPA, lately, Liberty Steel announced that he will close his wire plant in Illinois, adding to the recent cessation of his steel rod operation in South Carolina. Zekelman Industries also closed its Wheatland Tube plant in Chicago, leaving almost 250 workers without employment. For its part, Nucor Steel is stopping the production of wire rods in Connecticut, this is attributed to the fact that they cannot compete with import prices from other countries, such as Mexico.
In the administration of Joe well, the United States Acerera industry sought the imposition of this rate for Mexico, but it was possible to contain. Now, with Trump, the tariff man found an immediate response.
“It’s time for our great industries to return to the United States,” Donald Trump said after the signing of the executive order.
MEXICO CULCA TO VIOLATE AGREEMENT OF 2019
In 2019, as part of the United States-México-Canadá agreement, Mexico agreed to restrict its steel exports in exchange for tariff free access. However, the United States industry says it has widely exceeded those limits.
In 2020, after the signing of the joint declaration, Mexico complied largely, since shipments to the United States decreased with respect to 2019. However, by 2021, Steel increased again.
The CPA ensures that there are member steel companies that have hundreds of millions of dollars of investment in new plants or production lines in suspense because the US market does not support the increase in imports from Mexico.
“Mexican steel producers continue to increase their production facilities, and many plants announced expansions in recent years, 2023 and 2024, which will further increase production in Mexican facilities by up to 38% in the coming years.”
