Gerdau Drops Mexican Steel Mill Plan Amid Trump Tariff Turmoil

Brazilian steelmaker Gerdau SA has dropped plans to build a $600 million special steel mill in Mexico as US President Donald Trumplooks to reshape automotive supply chains.

“It’s too early to understand whether auto parts will stop being made in Mexico and go back to being made in the United States, or in another country,” Chief Executive Officer Gustavo Werneck told reporters Tuesday. “Our decision depends on the uncertainty of how the global automotive chain will be reconfigured after the tariffs.”

The company, which generates half of its sales in the US and Mexico, said changes in US trade ...