US domestic API X-52 spot market prices have remained lateral in the past week, at $64-$67 cwt. ($1,411-$1,477/mt or $1,280-$1,340/nt), ex-mill; sources close to SteelOrbis continue to report pricing out of Mexico for that same product, at $65 cwt. ($1,433/mt or $1,300/nt), FOB Texas. The Mexican pricing includes the Section 232 tariff.
Market players, however, are questioning whether the Trump administration will soon remove the Section 232 tariffs now that a tentative trade deal has been reached with Mexico and Canada. Earlier this week, the president of the US Chamber of Commerce told reporters the agency was pushing the Trump administration to remove the tariffs quickly, now that an agreement has been reached.
The Trump administration, however, has been slow to move. On Monday, US Trade Representative Robert Lighthizer said the administration was considering restoring the exemption, but the issue would not be addressed until “after we have a few days to catch our breath.”