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| ArcelorMittal Steel import restrictions |
Tightened Steel Import Restrictions Seen as Essential
ArcelorMittal called on countries across the Americas to tighten steel import restrictions. As a result, domestic industries can better withstand global competition. The company highlighted Brazil, Canada, and Mexico as key markets that should align with US and EU measures. Meanwhile, US tariffs on steel rose to 50% in June 2025, and the EU introduced the Carbon Border Adjustment Mechanism (CBAM) to reduce carbon-intensive imports. Consequently, import protection is central to maintaining regional steel competitiveness.
Regional Projects Support Domestic Production
Meanwhile, ArcelorMittal plans major capacity expansions across the Americas in 2026. Its Calvert, Alabama electric arc furnace is ramping up to 1.5mn t/yr, expected fully operational by year-end. In Brazil, a 4.5mn t/yr direct-reduced iron pellet plant will ship first units in February, and a 400,000 t/yr steel section and bar mill is commissioning in Barra Mansa. In Mexico, long and flat steel production totaling 3.8mn t/yr has resumed after outages. These projects strengthen local supply and complement trade protection policies.
Price Implications and Policy Outlook
As import restrictions tighten, North American steel prices are likely to rise. Brazilian steel may also see increases in Q2 2026 if new tariffs are implemented. Furthermore, ArcelorMittal expects other governments to follow the US and EU lead with similar restrictions. Therefore, regional markets are poised for higher domestic pricing, improved margins, and more stable local supply chains.
ScrapInsight Commentary
ArcelorMittal’s call highlights a global trend of protective steel policies. Tighter import restrictions will support domestic prices and incentivize regional capacity investments. Market participants should prepare for higher steel costs and potential supply concentration in 2026.
