The value of imports of finished steel products to Mexico registered an increase of 4.3 percent, year over year, in April, to $2.81 billion. With this increase, the negative trend of the last five months was broken and the amount is the highest in the last eight months, according to SteelOrbis' analysis of data from the national statistics office Inegi.
The value of imports in May could enter negative territory. SteelOrbis recently reported the problems of some steel importers to Mexico, with several clients, who were unable to introduce steel into Mexican territory for more than three weeks due to failures in the operation of the Ministry of Economy due to its new rules for steel products. .
On the export side of finished steel products, the negative trend remains. In April they decreased 4.1 percent, year over year. This accumulates 20 consecutive falls.
In the last 12 months, April was the fourth time that monthly exports were below $1.0 billion.
International trade in the Mexican steel market has been affected since the beginning of 2023 because the steel giant Altos Hornos de México (AHMSA) paralyzed steel production due to its insolvency.
The trade flow of finished steel products from Mexico to the world reached $3.80 billion, 2.0 percent more. With this increase, the negative trend of the last 10 months (since June 2023) was broken. In addition, it was well below the $4.55 trillion historical record in June 2022.
In the accumulated to April, the value of exports decreased 6.1 percent to total $4.0 billion, imports totaled $10.1 billion, 6.4 percent or $699 million less compared to the January-April period of last year.
The Mexican steel market is in deficit and in more than 30 years the trade balance has been in deficit for the country.
In April, the deficit was $1.81 billion, up 9.6 percent or $159 million from the same month last year. As of the fourth month of the year, the deficit was $6.10 billion, 6.7 percent less compared to the January-April period of last year.