WV Stahl stated that the new trade defence instrument is essential to protect the German and European steel industries against import pressure driven by persistent global overcapacity.
WV Stahl Managing Director Kerstin Maria Rippel described the mechanism as an effective response to the high level of imports into the EU steel market, saying, “The Steel Trade Defence Instrument provides an effective response to the intense import pressure facing the European steel industry. It restores confidence to the sector and sends an important signal for European industry.”
The federation warned that without effective trade protection, market distortions would continue to deepen, negatively affecting investment, employment, and the steel industry's transition toward climate-neutral production.
The new mechanism is based on country- and product-specific tariff-free import quotas. Once a quota is exhausted, imports will be subject to a 50% tariff. Unlike the previous EU safeguard measures, quota volumes will be adjusted according to market conditions rather than remaining fixed. WV Stahl believes the mechanism will help improve capacity utilization across the European steel industry.
Rippel also thanked policymakers in Berlin and Brussels, noting that introducing the new instrument before the previous safeguards expired provides timely protection for steel producers while balancing the interests of downstream industries. The federation added that the outcome was made possible in part by the strong support of the German Federal Government.
At the same time, WV Stahl called on the European Commission to address the remaining regulatory gaps. The federation urged the Commission to extend the scope of the mechanism to cover all steel products as well as steel-intensive downstream products. It also argued that unused tariff-rate quotas should not be carried over into future periods, warning that such a system could weaken the effectiveness of the safeguard measures.
Another key priority for WV Stahl is the implementation of the "melted and poured" rule, under which the origin of steel products would be determined by the country where the steel was actually melted and poured.
“The protective shield is now in place. The European Commission must now ensure that it cannot be circumvented. Allocating tariff-rate quotas based on the country where the steel is produced is of critical importance,” Rippel said.
WV Stahl added that further strengthening the trade defence instrument will be crucial for the EU’s industrial policy. The federation stressed that the "melted and poured" principle is not only important for trade protection but also for discussions surrounding the Industrial Acceleration Act (IAA) and the further development of the Carbon Border Adjustment Mechanism (CBAM).
Finally, the federation emphasized that the EU’s industrial policy instruments should support genuine industrial investment, value creation, and employment within Europe.
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