Reuters reported that country’s steel industry association CANACERO said that Mexico should seek exclusion from US tariffs on steel imports before closing the renegotiation of the North American Free Trade Agreement (NAFTA). CANACERO said “It’s difficult to understand how Mexico could accept updating NAFTA without resolving the problems created by the application of the measure under Section 232. Mexico should impose equivalent measures against US steel imports in the meantime in order to level the playing field. It is imperative that the Mexican government defend its national industry and request the exclusion of Mexico from the 232 measure before closing the negotiation between the three countries.”

Citing national security concerns, US President Donald Trump slapped tariffs on steel and aluminium at the end of May after a so-called Section 232 investigation, prompting retaliation from trade partners including Mexico and Canada. Mexico and Canada countered the move with a string of tit-for-tat measures on US products like pork, ketchup and bourbon.

Source : Reuters