On May 17, 2019, the President of Mexico issued a statement indicating that the US and Mexico had reach an agreement on the aluminum and steel tariffs imposed under Section 232 of the (U.S.) Trade Expansion Act of 1962. An official translation of the statement follows:
Agreement between the United States and Mexico on Section 232 Tariffs on steel and aluminum
After negotiations between Mexico and the United States on the steel and aluminum tariffs imposed by this country on Mexican steel, under Section 232, a mutually beneficial agreement has been reached: these tariffs are lifted, leaving the steel and aluminum of our country without quotas. In this way, the commercial exchange free of tariffs for these products is reinstated.
It should be noted that, in the spirit of supporting the strengthening of trade and good understanding in North America, the Government of Mexico consulted and promoted the trilateral dialogue with the Government of Canada for this same purpose.
The United States will eliminate all tariffs imposed on imports of aluminum and steel products from Mexico. For its part, Mexico is committed to eliminate all tariffs imposed in retaliation for the measures taken by the Government of the United States.
In addition, both countries agree to end all pending litigation between them before the World Trade Organization (WTO) regarding the measures imposed by Section 232 of the aforementioned law.
Mexico and the United States will implement measures to prevent the importation of aluminum and steel at dumping prices , as well as the transshipment of both metals that takes place outside either of the two countries.
Both countries agreed to establish a process to monitor the trade of aluminum and steel between them, and carry out a system of consultations.
Mexico achieved an extremely satisfactory agreement with the United States, as a result of the dedication, will and vision of both countries.
This agreement allows us to continue advancing in the ratification process of the Treaty between Mexico, the United States and Canada (T-MEC in Spanish).
