EUROFER urges the EU to urgently strengthen protection of the steel market

The global surplus of steelmaking capacity has reached 640 million tons and threatens investment, employment, and production in the EU

The European Steel Association (EUROFER) has called on the European Union to introduce a new trade mechanism for steel as soon as possible following the publication of updated data from the Organization for Economic Cooperation and Development (OECD), which confirmed the deepening of the global crisis of excess capacity.

According to OECD estimates, global excess steelmaking capacity reached approximately 640 million tons in 2025, exceeding total steel production in OECD countries by more than 200 million tons. At the same time, total global capacity has risen to a record 2.4 billion tons. EUROFER emphasizes that this trend is intensifying pressure on international markets, triggering a redirection of trade flows, and creating serious risks for European producers.

EUROFER Director General Axel Eggert stated that the OECD’s conclusions are clear: global excess capacity not only remains substantial but continues to grow. According to him, this poses an existential threat to European steel production, investment, and jobs.

Against this backdrop, the association is urging the swift adoption of the new EU trade measures on steel currently under discussion. The proposed mechanism includes a tariff quota that would allow for the control of import volumes while protecting the EU market from the effects of global overcapacity and trade diversion.

EUROFER warns that any weakening of the initiative will reduce its effectiveness. The time constraint is of particular concern, as the current EU safeguard measures expire in June, and any gap between the old and new regimes could leave the European steel market without adequate protection at a critical moment.

As a reminder, in 2025, according to EUROFER estimates, steel imports into the European Union, including semi-finished products, increased by 14% compared to the previous year. Imports of finished steel products increased by 9% year-on-year, driven by a 7% year-on-year rise in flat steel shipments and a 17% year-on-year increase in long steel shipments.