Background

The Office of the U.S. Trade Representative announced Aug. 31 the following additional measures to address steel imports from Mexico and Brazil.

First, due to recent surges in imports from Mexico of steel standard pipe, mechanical tubing, and semi-finished products, Mexico will establish a strict export monitoring regime for these products through June 1, 2021. The U.S. will maintain the Section 232 tariff exemption for these products and will consult with Mexico in December 2020 on the state of trade in these products in light of market conditions at that time.

Second, in response to the recent deterioration in market conditions brought on by the COVID-19 pandemic, the U.S. will reduce its import quota for semi-finished steel products from Brazil for the remainder of 2020 from 350,000 metric tons to 60,000. Existing quotas for other steel products from Brazil, which were imposed in lieu of Section 232 tariffs, will be maintained. The U.S. will consult with Brazil in December about the semi-finished steel quota for 2021.

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