The US steel industry faces growing pressure in 2025. Concerns are rising over increased steel imports from Mexico. US manufacturers and labor groups are calling for new tariffs. They argue that Mexican steel exports have exceeded limits set by the US-Mexico-Canada Agreement (USMCA).
Mexico Surpasses Canada in Steel Exports
Mexico has become the leading steel exporter to the US, surpassing Canada. In 2024, Mexican steel imports reached 3.6 million metric tons. Canada’s imports totaled 2.8 million metric tons. The US Department of Commerce reports a 470% increase in Mexican steel imports above 2019 baseline levels. Advocacy groups like the Coalition for a Prosperous America (CPA) claim Mexico’s practices violate the USMCA.
Legislative Action and Union Support
US lawmakers have introduced the Stop Mexico’s Steel Surge Act. This bill aims to reinstate tariffs on Mexican steel imports. The bill has bipartisan support. The Congressional Steel Caucus and United Steelworkers union support the bill.
Canada, traditionally the largest steel exporter to the US, has been largely exempt from Trump-era tariffs due to the USMCA. While threats to impose tariffs on Canadian steel have occurred, they haven’t materialized. US manufacturers and the United Steelworkers union oppose tariffs on Canadian steel.
The debate over steel tariffs and the USMCA will be a crucial issue for US manufacturers and lawmakers in 2025. SuperMetalPrice notes that these developments have a large knock on effect to the raw materials needed for steel production.
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