The new system replacing existing safeguard measures introduces a tariff rate quota (TRQ) framework that includes lower duty-free import quotas, higher tariffs on imports exceeding quota levels, stronger monitoring mechanisms, and enhanced enforcement tools.
EUROFER stated that, unlike previous trade defence measures, this regulation is designed not only to limit import surges but also to protect Europe’s steel production capacity and support the sector’s decarbonisation process.
EUROFER Director General Axel Eggert described the new measure as a game-changer for the European steel industry, saying: “This regulation opens the way to recovering up to 15 million tons of steel production lost in Europe. After years of increasing pressure, the European Union has recognised that protecting steel production is fundamental to Europe’s competitiveness, security, and decarbonisation goals. The industry was on the brink. The measure that entered into force today gives the sector breathing space for restructuring, but this is only the beginning.”
The association emphasised that protecting steel production in Europe is the first step in securing the broader manufacturing value chain. It noted that sectors using steel are increasingly affected by rising imports of steel-containing finished products, and stated that it is necessary to expand the new trade measures to cover these product groups as well. EUROFER also said it is ready to support relevant downstream sectors in this process.
EUROFER further noted that while the new measure provides an effective response to the impact of global overcapacity on trade, addressing the root causes of the problem requires coordinated international cooperation among steel-producing countries.
The association also highlighted that, despite strengthened safeguards, 18.3 million tons of steel will continue to enter the European Union each year without paying customs duties. It stressed that tariff quota allocations must be fair and balanced, reflecting existing trade flows and highly integrated supply chains.
Axel Eggert added that Europe is not closing its doors to steel trade, stating: “Europe will remain one of the most open steel markets in the world. Tariff quota allocations must be fair and balanced, reflecting long-standing trade relationships and integrated supply chains. This will allow reliable trading partners to continue supplying the European market, while enabling the European steel industry to recover and strengthen its competitiveness.”
EUROFER also stated that trade measures alone are not sufficient to secure Europe’s industrial future. According to the association, key priorities include reducing industrial energy costs, accelerating investment in low-carbon steel, creating lead markets to support European production, and extending trade protection measures to finished steel-containing goods. The goal is to ensure that an increasing share of steel needed for Europe’s green transition is produced within Europe.
Meanwhile, the European Commission is expected to conclude its public consultation on Mill Test Certificates (MTC) on July 2. Under the new framework, steel exporters to the EU will be required to provide information on the country where the steel was “melted and poured.” This shifts the burden of origin verification from importers to producers and is intended to significantly strengthen traceability in steel products.
Axel Eggert stated: “Knowing where steel is melted and poured is essential to the success of this measure. Stronger traceability will reinforce enforcement, increase transparency, and support the integrity of Europe’s new trade system. The responsibility for providing certification should lie with the producer, not the importer.”
Comments
No comment yet.