Metallurgy Market News

V.</p><p>V. Stahl: The new EU instrument to protect steel trade is an important step, but further improvements are needed.

The German Steel Federation (WV Stahl) described the new European Union instrument for the protection of steel trade, which entered into force on July 1, 2026, as an effective successor to the expiring protective measures for steel, while stating that additional improvements are needed to achieve full effectiveness of the mechanism.

V. V. Stahl stated that the new trade protection tool is important to protect the German and European steel industries from import pressure caused by the constant excess of production capacity in the world. Kerstin Maria Rippel, Managing Director of WV Stahl, described this mechanism as an effective response to the high level of imports into the EU steel market, stating: "The steel Trade Protection tool provides an effective response to the strong import pressures facing the European steel industry. This restores confidence in the sector and is an important signal for the European industry." The Federation warned that without effective trade protection, market imbalances will continue to worsen, negatively affecting investment, employment, and the steel industry's transition to climate-neutral production. The new mechanism is based on duty-free import quotas for specific countries and products. Once the quota is exhausted, imports will be subject to a 50% tariff. Unlike previous EU protective measures, quota volumes will be adjusted in accordance with market conditions, rather than remaining unchanged. V. V. Stahl believes that this mechanism will help improve capacity utilization in the European steel industry. Rippel also thanked politicians in Berlin and Brussels, noting that the introduction of the new instrument before the expiration of previous guarantees ensures timely protection of steel producers while balancing the interests of the processing industries. The Federation added that this result was made possible partly due to the strong support of the German Federal Government. At the same time, V. V. Stahl called on the European Commission to consider reviewing the gaps in legislation. The Federation called on the Commission to expand the scope of the mechanism to cover all steel products, as well as products requiring high costs for steel processing. It also argued that unused tariff quotas should not be postponed to future periods, warning that such a system could weaken the effectiveness of protective measures. Another key priority for WV Stahl is the implementation of the "melting and casting" rule, according to which the origin of steel products
Source