U.S. Senators Ask White House To Address Surge In Metals Imports From Mexico

A bipartisan group of senators recently sent a letter to White House National Security Advisor Jake Sullivan demanding that the Biden administration immediately address what the senators called an unsustainable increase in steel exports from Mexico. Specifically, the senators want President Joe Biden to set a clear deadline for Mexico to enforce its 2019 agreement with the United States regarding steel imports and to “take aggressive action to counter the increase in Mexican steel imports if the country refuses to comply.”

Under the 2019 pact, the United States agreed to lift its Section 232 metals tariffs if the Mexican government pledged to prevent the importation of steel “that is unfairly subsidized and/or sold at dumped prices.” Both countries also promised to establish monitoring systems to ensure that steel surges did not occur.

The senators, along with some advocates, have argued Mexico is violating that agreement by deliberately exporting underpriced steel and by suppressing its export data. The senators said the increase in steel imports from Mexico “threatens our manufacturing base and American national security, and demands immediate action from the administration.”

As evidence of their argument, the senators cited an August 2023 decision by Mexico’s Grupo Simek to close Republic Steel plants in Canton, Ohio, and Lackawanna, New York while moving significant quantities of that production to Mexico. These closures will result in a loss of more than 500 jobs.

Sens. Tammy Baldwin (D-Wis.), Katie Britt (R-Ala.), John Boozman (R-Ark.), Sherrod Brown (D-Ohio), Ted Budd (R-N.C.), Bob Casey (D-Penn.), Tom Cotton (R-Ark.), Sen. Amy Klobuchar (D-Minn.), Marco Rubio (R-Fla.), Rick Scott (R-Fla.), Tina Smith (D-Minn.), Thom Tillis (R-N.C.), J.D. Vance (R-Ohio), and Elizabeth Warren (D-Mass.) each signed the letter, which is available here.

“The administration must do more to protect America’s steel industry and prevent the further loss of good-paying American jobs,” the senators concluded. “Failure to conclude an export monitoring agreement due to the unwillingness or inability of the Mexican government is unacceptable.”