EU plans to cut steel import quotas after industry protests
2019-08-16 15:02:36 [Print]
The European Commission has proposed boosting measures to protect against a rise in imports spurred by U.S. tariffs after steel companies said the European industry was under threat.
On August 14, the Commission stated that it planned to cut an increase in import quotas to 3% from 5% effective from Oct. 1.
In June, senior steel executives including from Outokumpu, Salzgitter, and a division chief at ArcelorMittal, urged the Commission to scrap or postpone the 5% increase which took effect on July 1.
EU quotas had been set at the average level of imports in 2015-2017 plus 5%, with further 5% hikes on July 1 and a year later.
According to industry body Eurofer, the EU steel industry in 2018 was hit by a 12 percent increase in imports of finished steel products in a market that grew by only 3.3 percent.
The increase in imports happened despite safeguard measures designed to limit incoming steel following Washington's 25% import tariffs, which have effectively closed the U.S. market.
The proposals will be discussed with affected World Trade Organization members and submitted to EU members for approval ahead of the planned October implementation, the Commission added.
The Commission also plans to curb any one country of exceeding a 30% share of imports of hot rolled flat steel during a quarter.
On August 14, the Commission stated that it planned to cut an increase in import quotas to 3% from 5% effective from Oct. 1.
In June, senior steel executives including from Outokumpu, Salzgitter, and a division chief at ArcelorMittal, urged the Commission to scrap or postpone the 5% increase which took effect on July 1.
EU quotas had been set at the average level of imports in 2015-2017 plus 5%, with further 5% hikes on July 1 and a year later.
According to industry body Eurofer, the EU steel industry in 2018 was hit by a 12 percent increase in imports of finished steel products in a market that grew by only 3.3 percent.
The increase in imports happened despite safeguard measures designed to limit incoming steel following Washington's 25% import tariffs, which have effectively closed the U.S. market.
The proposals will be discussed with affected World Trade Organization members and submitted to EU members for approval ahead of the planned October implementation, the Commission added.
The Commission also plans to curb any one country of exceeding a 30% share of imports of hot rolled flat steel during a quarter.
