German steelmakers call for swift implementation of European steel and metals plan

At its last meeting before the summer parliamentary recess at the end of last week, the Bundesrat supported a resolution by the state of North Rhine-Westphalia calling for the rapid implementation of the European Steel and Metals Action Plan (ESMAP). In addition, at the request of three states, a requirement for a national steel summit was included.

This move was welcomed by the German Steel Industry Association (WVStahl).

Kerstin Maria Rippel, managing director of WVStahl, noted that the government needs to urgently work together to implement the announcements made in the coalition agreement and advocate for the implementation of ESMAP in Brussels.

The association listed the actions that are needed: more reliable protection of foreign trade, competitive electricity prices and, ultimately, lower tariffs for its transmission, public procurement that consistently focuses on creating environmentally friendly value “made in Germany and the EU.”

The association considers the creation of a sustainable and effective instrument for protecting foreign trade to be particularly urgent against the backdrop of excess global capacity and US tariffs on steel at 50%. As noted, already one in three tons of steel consumed in the EU comes from outside the bloc. Combined with historically low demand, this leads to a sharp underutilization of German and European metallurgical capacities.

“The time has come for a long-term, effective European trade protection instrument – our proposals are already on the table. Otherwise, Germany and the entire EU will be the biggest losers in the geopolitical restructuring,” Rippel emphasizes.

German steelmakers are also insisting on a reduction in tariffs for the use of the electricity transmission network, noting that every month of relief counts and that the federal government must present a concept that will effectively lift the burden on energy-intensive industries.

WVStahl also points out the importance of creating leading markets for low-emission raw materials produced in Germany and the EU, which will stimulate the industry and economic growth.

As GMK Center reported earlier, in January-May 2025, the German steel industry reduced steel production by 10.8% y-o-y – to 14.43 million tons. Pig iron production fell by 13.7% y-o-y – to 9.01 million tons in five months. Rolled steel production decreased by 8.3% y-o-y – to 12.79 million tons.