U.S. steel imports: monitoring

The U.S. government has established a system to monitor its steel imports from Mexico and Canada.

According to a U.S. congressional analysis, U.S. domestic steel production was estimated at 82 million metric tons in 2022; 10% of production was exported, with more than 90% being shipped to Canada and Mexico.

U.S. imports amounted to 28 million metric tons, 39% of which came from Canada and Mexico.

Of these total purchases last year, 22% originated in Canada, 17% in Mexico, 9% in South Korea, 8% in Brazil, 4% in Japan and the rest from other nations.

The Treaty between Mexico, the United States and Canada (USMCA) allows the free circulation of steel products between the three countries, another indicator of the great integration of the North American market.

U.S. tariffs and/or quotas limit imports from all of these countries, as well as many others.

U.S. steel imports: monitoring

According to U.S. Geological Survey (USGS) estimates, imports accounted for 14% of U.S. steel consumption. in 2022, up from 13% in 2021.

In Proclamation 9705 of March 8, 2018 (Adjustment of Steel Imports into the United States) and Proclamation 9704 of March 8, 2018 (Adjustment of Aluminum Imports into the United States), the President concurred with the Secretary of Commerce’s national security findings.

Therefore, the President decided to adjust imports of steel and aluminum articles by imposing a 25% ad valorem tariff on imports of steel articles and imposing a 10% ad valorem tariff on imports of aluminum articles so that such imports do not threaten to impair the national security of the United States.

In the proclamations, the President stated that, in his view, the measures reached with Canada and Mexico will provide an effective, long-term alternative means of addressing any contribution by imports of steel and aluminum articles from Canada and Mexico to the threat of impairment of U.S. national security.