Colombia has become the latest Latin American country to impose tariffs on Chinese steel, as local producers complain that Chinese products are threatening local jobs.
On Monday (October 21), Colombia’s Minister of Trade, Luis Carlos Reyes, announced on social media that an additional 30% tariff will be imposed on wire rods imported from countries without trade agreements.
Steel products imported from China to Colombia are priced more than 40% lower than locally produced ones, leading to some domestic steel factories having to cut production.
A decree issued by Colombia on October 18 mandates a tariff increase to 35% on all steel products from non-trade agreement nations, which is the highest tariff allowed under World Trade Organization rules, and is expected to affect imports from countries like China and Russia.
“A technical investigation has shown that these imported products are damaging our national industry,” Reyes stated in his post. “We are striving to ensure balance and fair competition.”
Earlier this year, other Latin American countries, including Brazil, Mexico, and Chile, have raised tariffs on Chinese steel, as a large influx of Chinese imports threatens local steel producers.
According to reports from Bloomberg, the information in this article is based on.