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U.S Rep. Rick Crawford said he is optimistic about steel agreement between the U.S, Mexico

A man works in a steel distribution factory in Monterrey in northern Mexico last week, when the U.S. tariffs on steel and aluminum took effect.
Julio Cesar Aguilar
/
AFP/Getty Images
A man works in a steel distribution factory in Monterrey in northern Mexico.

Last week, the United States and Mexico reached a deal to address China’s ability to evade tariffs that were created to protect North American products that are made with steel, according to the Arkansas Democrat-Gazette.

Lael Brainard, director of the White House National Economic Council, said the agreement is a way to enforce existing tariffs, according to the Associated Press.

“The president [Biden] is taking action to close loopholes left by his predecessor [Trump] that allowed China to circumvent trade rules,” she said.

The agreement will require any steel imported into the U.S from Mexico to be created in the U.S, Canada, or Mexico. If the steel is not created in North America then the steel will be subject to a 25% fine.

Earlier this year, U.S Rep. Rick Crawford, R-Jonesboro, introduced legislation to put 25% tariffs on steel imports from Mexico, but the legislation did not pass. In an interview with Arkies in the Beltway, a podcast by the Arkansas Democrat-Gazette, Crawford said he is optimistic about the agreement.

“I’m going to try and view this as glass half full. What we’re trying to do here is make sure that we’re playing on a level playing field, but this requires an awful lot of trust,” he said.

According to the White House, Mexico will require steel importers to provide information on which country the steel in the products was made in.

The Alliance for American Manufacturing said the Biden administration took the right action to enforce tariffs on China, according to the organization’s website.

Ronak Patel is a reporter for Little Rock Public Radio.