Tariffs imposed by President Donald Trump also played a decisive role in reducing Mexico’s share of total U.S. imports of these products from 13.4% in the first half of 2024 to the current 12.3%.
Mexican exports of steel and steel products to the United States fell 16.6% in the first half of 2025, totaling $4.591 billion, impacted by the tariffs imposed by President Donald Trump.
The tariffs were also a determining factor in the decrease in Mexico’s share of total imports of these products into the U.S. market, falling from 13.4% to 12.3% when comparing the first halves of 2024 and 2025.
The United States increased tariffs on Mexican steel imports starting March 12, 2025, when 25% tariffs took effect, removing all previous exemptions that had included Mexico.
From January to June 2025, Mexico remained the third-largest external source of steel for the United States, behind Canada ($5.303 billion) and China ($5.254 billion), while also being the top destination for U.S. steel exports ($6.733 billion).
As a result of these trade flows, the United States recorded a $2.148 billion surplus in steel trade with Mexico in the first half of 2025. All these figures, provided by the U.S. Department of Commerce, include products from smelting, iron, steel, and their manufactured goods.
Mexican exports of these goods have declined since early 2025, falling to $604 million in June, marking their lowest level in the past five years.
Regarding Trump’s overall tariff policy, Kenneth Smith, an international trade expert and partner at AGON, stated on Tuesday that Trump’s belief that shutting down the U.S. economy will replace declining imports with domestic production and job creation is “completely fictitious.” “The shift toward protectionism will not generate a manufacturing boom in the United States,” he added in a post on X.
According to Smith, the United States faces major challenges: high production costs, a shortage of manufacturing labor, and lack of access to international inputs at competitive prices due to tariffs.
“Instead of continuing to hit Canada and Mexico with tariffs, the United States must understand that the only way to successfully compete with China in future sectors is by strengthening North American integration through the USMCA, thereby increasing regional competitiveness,” he emphasized.
Regarding revenue, Smith commented: “The U.S. government boasts about having collected $131 billion in tariffs. Translation: American consumers importing goods paid $131 billion out of pocket. Tariffs are a tax on U.S. consumption.”
During Trump’s first administration, he made extensive use of the powers delegated to the president to increase tariffs on certain goods.
As a result, tariffs paid on U.S. imports doubled between fiscal year 2015 and fiscal year 2020, rising from $37 billion to $74 billion. President Joe Biden’s administration maintained many of these policies, collecting $77 billion in fiscal year 2024.
Regarding the revenue generated by Trump’s tariffs, Smith concluded: “Whether import companies absorb the costs or pass them on to the final consumer, the U.S. government is squeezing its citizens to increase tax collection — with all the economic consequences that entails.”
https://eleconomista.com.mx/