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Trade war: Mexico holds fire on US steel tariffs; will wait until April, says President Claudia Sheinbaum


Mexico President Claudia Sheinbaum said on Wednesday her country will not immediately retaliate against steel and aluminum tariffs imposed by US President Donald Trump.

The Mexican government will wait until April, when Trump has pledged to impose separate reciprocal tariffs, to see if it needs to hit back, she said at a news conference.

“We’re going to wait until April 2 and then decide whether or not to impose reciprocal tariffs, in the case of aluminium and steel,” Sheinbaum said.

Mexico is a major supplier of steel to the United States.

The Mexico president has vowed to seek a negotiated solution with Trump on tariffs.

“We hope that since we have a trade agreement and there are no Mexican tariffs on the United States, there will be no reciprocal tariffs,” she added.

Last week, the US president had granted another month of temporary tariff relief on most imports from Mexico after Sheinbaum spoke to Trump on the phone.

Steep Tariffs

The steep 25 per cent tariffs came into effect on Wednesday with no exemptions despite countries’ efforts to avert them.

The move is aimed at protecting the declining US steel industry as it faces growing competition, especially from Asia.

The United States imports around half of the steel and aluminium used in the country to make items ranging from cars to planes to soda cans.

The European Commission swiftly unveiled retaliation starting in April, while Canada announced additional tariffs on some US goods and China vowed “all necessary measures” in response — as Washington edged toward an all-out trade war with allies and competitors alike.

Canada, which is heavily exposed to the US steel and aluminum levies, announced additional tariffs of CAN$29.8 billion ($20.7 billion) on US goods, with the levies coming into force on Thursday.

But Canada’s incoming Prime Minister Mark Carney later said that he was ready to negotiate directly with Trump a renewed trade accord to avoid further economic tussling.


Mexico, US tariffs, steel, aluminum, trade war, Donald Trump, Claudia Sheinbaum
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