ISRI has joined the U.S. Chamber of Commerce and more than 200 other business groups and companies to advocate for the ratification of the U.S. Mexico Canada Agreement (USMCA) to supersede NAFTA. Launched on February 26, the USMCA Coalition will harness the resources of a broad range of industries, associations, and companies in Washington, DC, and around the country to promote the benefits of the agreement and gather support for its swift passage.
For ISRI members, the new agreement is mainly status quo, but there are three key enhancements:
- For Customs clearances, the USMCA provides for more cooperation among the three countries’ customs officials that should improve the movement of materials across borders;
- The agreement “recognizes the important role that international standards, guides and recommendations can play,” which should pave the way for ISRI Specifications to serve as the standard for scrap commodities traded within North America; and
- Scrap processed in North America will be a valuable contribution to the supply chain for automobiles required to meet enhanced “Rules of Origin” obligations.
No decision has yet to be made regarding U.S. 232 tariffs on steel and aluminum products from Canada and Mexico, but news reports suggest negotiations are underway.
The timing for the agreement’s ratification is still uncertain as it requires ratification in all three legislatures, but we hope that by joining the USMCA Coalition, ISRI can work closely with other groups to press for passage as early as possible.
Please contact Adina Renee Adler with any questions.