According to media reports today, global steelmaker ArcelorMittal plans to keep a proposed $1 billion investment in Mexico, despite a temporary exclusion from the 25 percent import tariff announced by Donald Trump today. Mexico and Canada’s exemption from the tariffs will depend on whether they concede to US demands in the ongoing NAFTA renegotiations.
Ricardo Bussey, a company’s spokesperson in Mexico, did not immediately respond on Thursday a request for comment.
ArcelorMittal Mexico plans to invest $1 billion in a new hot strip mill as part of a three-year investment program at its Mexican operations.
The construction of the new hot strip mill will take about three years. When completed, the new product line will help ArcelorMittal Mexico to produce 2.5 million mt of flat rolled steel.
About 80 percent of ArcelorMittal’s steel production in Mexico is destined to the domestic market, while the remaining 20 percent is exported to the US, Canada and elsewhere.