Alonso Ancira Elizondo, President of the National Chamber of Iron and Steel Industry (CANACERO), recognized the performance of Federal Government and the Ministry of Economy (SE) through the UPCI to face unfair trade and noted that in 9 months the Ministry has begun 11 sanctioning procedures--more than any amount in the past 12 years.
These phenomena, he said, are due to the global recession has led to overcapacity in the global steel industry and Mexico, with a stable economy, has established itself as an attractive destination for exports, many of which have entered under unfair conditions .
He considered Mexico 's energy reform to be decisive; however, there are aspects of the tax proposal that must be perfected, as carbon bonds severely affect the industrial sector and especially steel with mill closures, production drops and job losses.
He noted that the content of the project in this regard would mean the loss of competitiveness of the industry to counterparties that do not apply the tax, "even our major trading partners," and others who have lower rates up to 30 times.
For example, he said, while more than 70 percent of emissions come from large urban settlements and transportation grew wildly inefficient, the steel sector contributes only 3 percent of them.
Ancira warned that unfair trade practices of producers in Asia and Eastern Europe caused the decline in steel prices, which threatens large investments and development of the Mexican steel industry.
He stressed that the commitment is to support industrial investment programs intended primarily for the generation of steels that the market demands and are currently imported.
He said that the steel industry will have an official Mexican standard that will force foreigners to market their products in national territory under the same standards of quality and environment required of Mexican companies.
On the other hand, he reported that as of June this year Mexican steel exports totaled US$186 million, but unfortunately they are affected by unilateral measures and general protection, such as those applied by Colombia and the United States.