Mexico's steel industry fears increasing steel imports could undermine the competitiveness of domestic steel industry and steel production.

Mexican Iron and Steel Association (Canacero) that Monterey's "first Mexican steel industry conference," noted that imports of steel in Mexico nearly 13 million tons, accounting for finished steel consumption of 17.5 million tons in Mexico for nearly 75%. And most steel imports from China, Mexico surge 183 percent in the past five years, steel imports from China and other Asian countries. In recent years, indirect steel imports by Mexico is also increasing, estimated indirect steel imports last year amounted to more than 600 million tons, and imports about 6.7 million tons is quite direct.

Canacero claimed that steel imports increased resulting in the manufacturing sector slowed down the industrialization process in Mexico, the Mexican Steel Distributors Association (Conadiac) also said he was very worried, and called on the government to take this action. But the government does not seem to agree with this statement, adding that since 2008 - after the 2009 economic crisis, Mexico's steel production increased, good industrial prospects. Mexican steel imports nearly 50 percent of their production is limited or hardly produce flat steel, and with the increase of steel imports in recent years, Mexican mills have started to target the high-value-added steel products, a number of expansion and new projects are being implementation. However, the Government also claims that will speed up the anti-dumping investigation, and collect relevant data.

Mexican demand for imports because the domestic steel quality and complete production can not meet domestic demand, such as flat steel imports accounted for about 35% -40% of demand. Flat steel demand in 2007 9,000,000 tons, imports accounted for 3,000,000 tons; 2008 needs 9.1 million tons, 3.6 million tons of imports; affected by the global financial crisis, demand in 2009 fell to 7.5 million tons, imports of 2.7 million tons, while in 2010 Demand recovered to 9.6 million tons, imports increased to 3.8 million tons.

Latin American steel demand is very promising, especially automotive flat steel. Latin America's largest steelmaker Ternium and Pohang Iron and Steel Company in Mexico to build steel mills, the automotive industry is committed to meet the needs of flat steel. Pohang annual capacity of 400,000 tons of galvanized steel product plans to reach full capacity, Ternium Mexico plans to build an annual production capacity of 1.5 million tons of cold-rolling mill, and in cooperation with Nippon Steel construction production capacity in Mexico 40 tons of zinc steel joint venture. ArcelorMittal Mexico believes that investment in Mexico in the automotive and manufacturing steel is necessary. (Zhang Bin Mysteel.com International Department)