Uğur Dalbeler, speaking on CNBC-e, stated that the decision would have highly critical consequences for Turkish steel exports and emphasized that its impact “will be quite negative.”
Dalbeler recalled that the European Union’s measures aimed at restricting steel imports are not new and that the quota system has already been in force since 2019. However, he stated that the quota structure has become even stricter under the new regulation and that the total import volume has been significantly reduced. He emphasized that reducing the total quota from nearly 36 million tons in previous periods to 18.3 million tons represents a major shift in global trade balances.
Drawing attention to Türkiye’s position in the European market, Dalbeler stated that the EU has historically accounted for between 30% and 40% of Turkish steel exports. He noted that Europe is not only the most important partner for the steel industry, but also for Türkiye’s overall foreign trade, adding that the decisions therefore create direct and strong effects.
Referring to export performance in previous years, Dalbeler recalled that Türkiye gained a significant advantage in 2022 following restrictions imposed on Russian steel after the Russia-Ukraine War and increased its exports to above 7 million tons. However, he stated that Türkiye’s 2025 performance was excluded from the new quota calculation, while 2022, 2023 and 2024 were taken as the basis.
Within this framework, Dalbeler stated that the proposed quota level for Türkiye is being discussed at around 2.1 million tons, emphasizing that this figure remains well below Türkiye’s historical export volume. He also recalled that Türkiye holds a special position with the EU both under the Customs Union framework and within the scope of relations with the European Coal and Steel Community. Despite this, he stated that the resulting quota creates a more disadvantageous picture for Türkiye compared to other countries.
Dalbeler also noted that the quota allocation under the EU’s new system has not yet been finalized. He stated that distribution will be based on countries’ historical performances and that a certain amount of “free quota” will also be established. However, he emphasized that the proposals currently presented to Türkiye remain far below expectations and have created serious disappointment within the sector.
Providing information regarding the negotiation process, Dalbeler stated that discussions with the European Commission are ongoing and emphasized that they do not consider the current framework acceptable. He added that Türkiye has presented alternative proposals based on its own calculations and stated that upcoming negotiations will be decisive.
Dalbeler also evaluated market diversification, emphasizing that Turkish steel exports have traditionally focused on Western markets, particularly Europe as the strongest export destination. Regarding Eastern markets, he stated that China has built a very strong production and export capacity over the past 20 years, fundamentally changing global balances.
He stated that China creates significant competitive pressure both in domestic and international markets and emphasized that the Turkish steel industry’s competitiveness is being challenged by China’s state-supported production structure, financing advantages and export incentives. He added that this pressure is felt not only in foreign markets but also in Türkiye’s domestic market.
Dalbeler also stated that other global developments are affecting the sector. He noted that following recent developments regarding certain production facilities in Iran, changes have emerged in semi-finished steel trade, pushing global prices upward. He emphasized that increasing semi-finished product costs have also been reflected in raw material prices, creating additional pressure on the Turkish steel sector.
In light of all these developments, Dalbeler stated that the upcoming period will be challenging for the Turkish steel industry and emphasized that the sector may face serious tests on both exports and costs.
Comments
No comment yet.