The agreement reached on the ongoing customs tariff dispute between the US and the European Union (EU) has not been enough to alleviate concerns in the European steel industry. Kerstin Maria Rippel, Director General of the German Steel Federation (Wirtschaftsvereinigung Stahl), emphasized in her statement on the matter that the crisis facing the European steel sector is still ongoing.
“Although the escalation of the trade dispute between the US and the EU has been prevented for now, the catastrophic situation for the European steel industry remains unchanged,stated Rippel, noting that the 50% customs duty on steel imports continues to have a dramatic impact on exports from Germany and the EU to the US.
Rippel stated that EU Commission President Ursula von der Leyen must resolutely defend a strong bilateral steel alliance with the US against the problem of uncontrolled growth in global steel supply. He pointed out that this approach has become even more vital for the future of the sector.
According to Rippel, the risk of major shifts in global trade patterns persists. This is leading to additional steel volumes being directed toward the already pressured and vulnerable EU market.
In this context, Rippel made a critical appeal to the European Commission: “The Commission must implement the commitments it has made in the Steel and Metals Action Plan without delay and establish a strong mechanism to effectively and permanently limit import quotas.”
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