The legislation follows letters (letter to National Security Advisor Jake Sullivan and letter to USTR Tai and Commerce Secretary Raimondo) Senators Cotton and Brown sent to the Biden administration addressing their concerns about the economic and national security consequences of the steel imports coming from Mexico. The bill would reinstate tariffs on Mexican steel imports and bring Mexico into compliance with the trade commitments that it continues to violate.

 Senators John Boozman (R-Arkansas), Mike Braun (R-Indiana), Ted Budd (R-North Carolina), Bob Casey (D-Pennsylvania), Marco Rubio (R-Florida), Rick Scott (R-Florida), J.D. Vance (R-Ohio), and Elizabeth Warren (D-Massachusetts) are co-sponsors of the legislation. Representatives Rick Crawford (Arkansas-01) and Frank Mrvan (Indiana-01) are introducing companion legislation in the House.

 Text of the bill may be found here.

 “Mexico’s violation of its 2019 agreement with the United States has released a surge of steel products into America that’s hurt our workers and made us less secure. It’s past time for more negotiation. This legislation will stop Mexico from continuing to surge steel into our market,” said Senator Cotton.

 “Ohio steelworkers can’t wait any longer for Mexico’s cheating to stop. Workers are losing their jobs and Ohio companies are losing business now,” said Senator Brown. “When Mexico breaks the rules they agreed to, the Administration needs to hold them accountable. This bill would take the action Ohio workers desperately need to level the playing field with Mexico.”

 “Mexico’s practice of steel dumping is a flagrant breach of our trade agreement and has caused significant harm to our steel industry. We cannot allow bad actors to take advantage of trade agreements by attacking one specific American industry. It’s time to put our foot down and put tariffs in place to prevent Mexico from flooding our markets and causing further damage to American steel manufacturers,” said Congressman Crawford.

 “It is imperative that we do everything we can to defend American steelworkers against unfair trade practices.  I am proud to collaborate with my House and Senate colleagues on this initiative to ensure that our domestic steel industry can compete on a level playing field,” said Congressman Mrvan.

 The Stop Mexico’s Steel Surge Act would:

• Reinstate a 25 percent Section 232 tariffs on Mexican steel imports for no less than one year and empowers the president to impose quotas or tariff rate quotas on specific goods where there have been major surges.
• The administration may only lift these tariffs once the Secretary of Commerce and U.S. Trade Representative certify that Mexico has adopted policies bringing it into compliance with the 2019 agreement and are confident that Mexico will maintain these policies.