The European Union announced stricter limits on steel imports on Tuesday, slashing tariff-free quotas and imposing 25% tariffs on excess volumes to protect its struggling steel sector from a surge in foreign shipments. The measures, effective next month, aim to reduce imports by 15% and support domestic producers in reclaiming market share while accelerating investments in sustainable steel production.
Key Details:
Reduced Quotas: Tariff-free import allowances (safeguards) will shrink, aligning with historical trade flows.
25% Tariff: Steel exceeding quotas faces a steep duty, discouraging oversupply from global markets.
No Roll-Overs: Unused quotas can no longer be transferred between countries or product categories, tightening controls.
Strategic Goals:
Market Recovery: Help EU steelmakers regain lost ground amid rising competition from cheaper imports.
Green Transition: Encourage investments in low-carbon steel production to meet climate targets.
Job Protection: Safeguard employment in a sector critical to the bloc’s industrial base.
EU Commission Vice President Stéphane Séjourne emphasized the move would “create breathing space for producers” while fostering long-term sustainability. The decision follows warnings from European steelmakers about plant closures and job losses due to import pressures.