US tariffs on Mexican steel under Section 232 will be negotiated apart from a preliminary trade agreement reached between the two countries, Mexican officials said this week.
Mexican economy secretary Ildefonso Guajardo said the status of conversations about US Section 232 is at a “standstill.” A media report from El Universal suggested the US could offer a “quota” deal for Mexican exports, similar to a deal reached with Brazil.
Until a new agreement is reached, Guajardo said Mexico will continue imposing imports tariffs over the US steel as a way to balance 232 Section tariffs.
“We’ve talked to US ambassador Robert Lighthizer during this six-week process and we will eventually resume conversations about (Section 232),” Guajardo said.
“If we sign the (trade agreement) deal by year-end, until late November, it would be an interesting message that we solved a controversial topic. Meanwhile it doesn’t happen, Mexican tariffs to balance Section 232 will continue,” he said.
Mexican steel association Canacero is reportedly traveling Washington, D.C. to discuss potential quotas, but the association did not return a request for comment.