As Paulo Cabral reports from SĂŁo Paulo, Brazil, Latin American exporters are navigating choppy waters after US President Donald Trump doubled tariffs on steel and aluminum imports. Countries like Brazil and Mexico, major suppliers of key industrial metals, are feeling the heat as global supply chains recalibrate.
In Brazil, steel producers are recalibrating shipments to US clients to absorb higher fees. In Mexico, aluminum exporters say the doubled duties are squeezing margins in an already competitive market. Many exporters fear the added costs could slow down manufacturing and raise prices for end consumers.
Trade experts warn that these measures could trigger retaliatory actions and intensify an already volatile trade environment. Brazilian and Mexican industries are exploring new partnerships beyond North America, eyeing Asia and Europe as alternative markets to soften the blow.
Amid the uncertainty, some innovators see a silver lining. Startups offering advanced metal-recycling technologies and digital supply-chain platforms are pitching solutions to help companies cut costs and reduce waste.
As debates move to the World Trade Organization, policymakers in BrasĂlia and Mexico City will need to balance diplomatic channels with urgent economic realities. For now, exporters across Latin America remain on high alert, adapting strategies in real time to weather this unexpected storm.
Reference(s):
cgtn.com
