President Joe Biden announces a new rule to stop China from circumventing a loophole that allows it to avoid tariffs by using Mexico to send the metal into the US|Gage Skidmore|CC BY-SA 2.0

 

President Joe Biden implemented a new 25% tax on Chinese steel imports shipped through Mexico unless it is documented to have been melted and poured in Mexico, the US or Canada, according to Reuters.

The new rule, announced yesterday, is implemented to stop China from circumventing a loophole that allows it to avoid tariffs by using Mexico to send the metal into the US.

The Biden administration has levied a 10% tax on Chinese aluminum product imports via Mexico. To escape the tariffs, the products must not contain primary aluminum smelt or cast in China, Russia, Belarus or Iran.