After the US raised tariffs on steel imports to 50%, the European Steel Association (EUROFER) called on the European Commission to immediately implement the “highly effective trade measures” promised in the Steel and Metals Action Plan. Otherwise, the association warned, the European market will suffer severe damage.
EUROFER Director General Axel Eggert stated in Brussels that the high tariffs imposed by the US will have serious effects on the European market. “We expect a major diversion of the planned 27 million tons of steel destined for the US to Europe, just like in 2018,” Eggert noted.
According to Eggert, at a time when global overcapacity has reached record highs, steel imports into the EU are up to 30%, while the European market is flooded with low-priced foreign steel. Stating that the current situation is unsustainable, Eggert added: “The Commission's promised trade measure is a lifeline. If no action is taken, the industry will suffer irreversible damage,”.
On the other hand, EUROFER emphasized that annual EU steel exports to the US of 3.8 million tons have almost completely stopped due to the 50% tariff. Eggert said that this development would put even Europe's highest quality and competitive products at risk.
EUROFER stated that the stalled negotiations between the EU and the US should be restarted and suggested that the global steel surplus problem can only be solved through joint efforts.
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