Brazilian steelmaker Gerdau has decided to cancel its planned new steel plant in Mexico due to the uncertainty caused by the US tariffs on steel imports, according to local media reports.
The company CEO Gustavo Werneck stated that the US tariffs will bring structural changes to the automotive industry, which will directly affect Gerdau’s steel plant investment in Mexico. Largely based on the uncertainty of how the global automotive chain will reshape after the tariffs, they had to take the decision, he added.
Entailing an investment of $600 million, the special steel plant with a production capacity of 600,000 mt per year would have been dedicated to the US automotive industry.
