Starting Wednesday, importers bringing steel and aluminum goods from Mexico must prove that the metals were forged in North America or face national security tariffs, as part of the Biden administration’s strategy to counter Chinese goods rerouted through Mexico to avoid duties.
Administration officials announced that importers will now be required to certify to U.S. Customs and Border Protection that the steel in their products was melted and poured in North America. Failing to do so will result in a 25% levy on global steel imports under Section 232 of the Trade Expansion Act of 1962.
Aluminum importers must certify that their products were not smelted and cast using primary aluminum from Russia, China, Belarus, or Iran, or face a 10% duty under the Section 232 program. Mexico will also require steel and aluminum importers to provide additional country-of-origin information, according to the White House.
“These actions fix a major loophole that the previous administration failed to address, and that countries like China use to avoid U.S. tariffs by shipping their products through Mexico,” National Economic Advisor Lael Brainard said on a Tuesday call with reporters ahead of the announcement.
