Extending 15 percent duties on Chinese steel will save Mexican jobs, says AHMSA

Wednesday, 22 March 2017 00:09:21 (GMT+3)   |  
       

Alonso Ancira Elizondo, president of Mexican integrated steelmaker Altos Hornos de Mexico (AHMSA), said about 23,000 Mexican jobs would be at risk if an existing 15 percent duty on certain steel imports is not extended.
 
Mexico applied a 15 percent tariff over certain steel imports for the countries that do not have trade agreements with Mexico, most notably China. Products included are slab, CRC, HRC, heavy plate and wire rod.
 
Elizondo, who also serves as vice president of Mexico’s steel association, Canacero, said if the existing 15 percent duty isn’t extended, AHMSA would need to dismiss about 4,000 employees, and planned investments totaling about $800 million would be at risk.
 
The reasons for keeping and extending the 15 percent tariff remain the same, according to Elizondo: China still has an oversupply of steel, and profit margins are already slim enough due to prices increasing for electricity, gas, iron ore, and coal.


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