WASHINGTON: The United States unveiled stri­cter rules Wednesday on steel and aluminium imp­orts from Mexico, moving to prevent China-origin goods from avoiding tariffs.

The election-season actions by President Joe Biden’s administration mark the latest in a series of efforts to guard against excess industrial capacity in China, which Wash­ington has warned could bring a flood of unfairly priced goods to other markets.

Steel arriving via Mexico will qualify for duty-free benefits only if melted and poured in that country, or in the United States or Canada, White House National Economic Advisor Lael Brainard told reporters. Otherwise, they will face tariffs of 25 per cent.

Under Biden’s latest proclamation, aluminium imports from Mexico that contain primary aluminium smelt or cast in China, Belarus, Iran or Russia will also face a 10 per cent tariff.

Mexico will require importers to provide information about the products’ countries of origin. This adds to its recent tariff hikes on steel and aluminium from countries it has no free trade agreements with.

“These actions fix a major loophole that the previous administration failed to address, and that countries like China use to avoid US tariffs by shipping their products through Mexico,” Brainard said.

She charged that “Chinese steel and aluminium entering the US market through Mexico evades tariffs, undermines our investments and harms American workers in states like Pennsylvania and Ohio.”

As Biden’s reelection bid enters a critical stage, the president has been working to win over voters in swing states including Pennsylvania.

Published in Dawn, July 11th, 2024