On Feb 6, ArcelorMittal, the world's second-largest steelmaker, has not ramped up steel shipments to the U.S. to preempt potential tariffs under President Donald Trump, stated the company's finance chief, Genuino Christino, to Reuters.
According to Christino, the company focuses on selling high-value products in the U.S., including automotive steel from its Canadian facilities.
ArcelorMittal imports iron ore from Canada and steel slabs from Mexico and Brazil for its U.S. operations. If tariffs on Mexico are imposed, the company can adjust by increasing slab imports from Brazil.
Christino emphasized the capability of the Mexican and Brazilian facilities to produce high-quality slabs suitable for automotive applications.
Following Trump's suspension of tariffs on Mexico and Canada for 30 days, Christino estimated a potential quarterly impact of around $100 million, aligning with analysts' projections.
Despite divesting most of its U.S. assets in 2020, ArcelorMittal maintains a strategic focus on North America, with plans to construct a new steel plant in Calvert, Alabama, to meet rising demand from U.S. automakers.
Christino reiterated the company's commitment to the North American market, emphasizing that significant EBITDA is generated in the region.