US working to lift aluminium and steel tariffs from Mexico and Canada, Robert Lighthizer says

The US Trade Representative Robert Lighthizer said on Tuesday, March 12, that the United States is working on a plan to remove tariffs from Mexican and Canadian aluminium and steel while striving to preserve the gains that domestic producers received so far.

He particularly told the US Senate Finance Committee that "What I'm trying to do is a have a practical solution to a real problem ... get rid of tariffs on these two, let them maintain their historic access to the US market which I think will allow us to still maintain the benefit of the steel and aluminium program."

Once, a plan to lift metal tariffs from Canada and Mexico was linked to the renegotiation of the North American Free Trade Agreement but that ultimately failed to turn out successfully.

Many US lawmakers believe that the US-Mexico-Canada Agreement (USMCA) could ever win approval in Congress if metal tariffs and duties on US farms and other products remain in place.

Members of the New Democrat Coalition in the House of Representatives even echoed a similar message in a meeting with Lighthizer later on Tuesday.

"Some of us impressed the need to resolve 232 before we have a chance to move forward on consideration of USMCA,” said Representative Ron Kind, a pro-trade Democrat from Wisconsin.

Kind further intimidated that Lighthizer will expectedly meet Mexican and Canadian counterparts this week to discuss the matter.

Instead of tariffs, the United States had once sought quotas on aluminium and steel imported from Canada and Mexico, but the latter resisted arguing that they pose no threat to the US national security.

A Mexican official said on a condition of anonymity, "Our position is that we should not have tariffs or quotas. We have to help the US construct the narrative of why exclusion for Mexico is valid.”