The recently unveiled EU trade measure, which replaces the previous protective regime with a stricter tariff quota system, has attracted widespread support from European steel producers, who see its implementation as a necessary response to global overcapacity and import pressure, while representatives of the UK industry have spoken out against it. They welcomed the continued partial duty-free access, but warned that the reduction of quotas and stricter terms of trade could negatively affect steel exporters and consumers in the processing industry.

The European Commission described in detail the allocation of quotas to specific countries under the new regime after the introduction of protective measures, setting an annual duty-free volume of 18.35 million tons for 26 categories of steel products, while quotas were divided into quarterly volumes and distributed among free trade agreement partners and other exporting countries, as previously reported by SteelOrbis

The European steel industry welcomes the increased protection measures

The European Steel Association (EUROFER) welcomed the new EU steel trade measures, calling them a landmark change in industrial and trade policy that could help restore up to 15 million tons of lost steel production in Europe.

EUROFER CEO Axel Eggert said the measure marks a turning point for the European steel industry, providing manufacturers with breathing space to recover while maintaining the competitiveness, decarbonization and sustainability of the industry. The association added that eventually the new system should be extended to the production of steel-containing products in order to protect the broader production chain from import pressure.

Despite the tightening of the regime, EUROFER noted that 18.3 million tons of steel will continue to be imported into the EU duty-free each year, stressing that quota allocation should remain fair and reflect established trade flows and integrated supply chains.

Germany urges to close loopholes in legislation

The German steel corporation era (WV Stahl) also welcomed the new changes, calling them an effective response to global overcapacity and growing import pressures. Welcoming the introduction of a more flexible quota mechanism and 50% tariffs after quotas are exhausted, the association called on the European Commission to close the remaining loopholes in trade by extending protection to all steel products, including metal-intensive ones.