For 27 years, the Mexican government has charged compensatory duties of 29.3 percent on the import of rolled steel plates produced and imported from Russia, but today in a preliminary resolution of the administrative procedure to review the compensatory duty it decided to lower it to 12.35 percent. However, the product must pay an additional tariff of 25.0 percent because there is no free trade agreement with Mexico.
“The administrative procedure to review the compensatory quota continues, which is modified, so a provisional compensatory quota of 12.35 percent is established on imports of rolled steel plate originating in Russia,” the Ministry of Economy published today (SE) in the official gazette of the Mexican government (DOF).
Despite the reduction of the countervailing duty, rolled steel plate is on the list of 201 steel products that the government decided to charge, since August 15, a 25 percent tariff to countries with which Mexico does not have a free trade agreement. Russia is one of them.
The product is imported through tariff items 7208.10.03, 7208.25.02, 7208.37.01 and 7225.30.91 of the Tariff of the Law of General Import and Export Taxes (TIGIE).
According to the government report, the main producer of rolled steel plates is Ternium with more than 80 percent. The other producer is Altos Hornos de México, but due to its insolvency it has been paralyzed since the beginning of the year. An element to highlight is that the Ministry of Economy revealed that ArcelorMittal has already been producing rolled steel plates since last year.
The participation of ArcelorMittal was not reported by the Mexican Chamber of the Iron and Steel Industry (Canacero) in its most recent production report that includes all companies in the sector.