Mexico has almost doubled its import duties on Brazilian plywood to protect domestic producers, according to industry newsletter Random Lengths.
Tariffs on Brazilian plywood imported to Mexico have increased from 12.7% to 22.2%.
The Mexican government said a growth in plywood imports had hit sales, production and employment levels in the domestic plywood industry.
The duties on Brazil and other members of the Latin American ALADI trade association are 20% lower than those imposed on non-members. Indonesia, China and other non-ALADI countries pay a tariff of 27.7%.
However, the US does not pay any tariffs due to the North American Free Trade Agreement. Mexican plywood companies recently failed to convince their government that American imports were hurting the domestic industry.
But America has not yet capitalised on the situation, with its mills working overtime to supply products to help the rebuilding effort following Hurricane Katrina. Spiralling US plywood prices have also put off Mexican importers.
