Germany convenes steel summit in light of ongoing crisis in the sector

Against the backdrop of the deepening crisis in the steel sector, German Federal Chancellor Friedrich Merz announced the convening of a steel summit to be held on November 6, 2025, in Berlin.

The meeting will be attended by Vice Chancellor and Finance Minister Lars Klingbeil (SPD), Economy Minister Katerina Reiche (CDU), Labor Minister Berbel Bass (SPD), as well as the heads of leading steel companies and the prime ministers of the federal states where metallurgical enterprises are located – North Rhine-Westphalia, Lower Saxony, Brandenburg, and Saarland.

The main goal of the meeting is to preserve the steel industry in Germany and protect jobs. Issues such as energy prices, trade relations, and the sustainability of the industry will be discussed. As emphasized by the government, supporting national steel production is critical to reducing the country’s dependence on imports and ensuring the EU’s energy security.

The German metallurgical industry is currently under severe pressure. The crisis in the automotive sector, rising energy prices, cheap imports from China, and the high costs of transitioning to green steel production have sharply reduced the competitiveness of manufacturers. The situation is further complicated by high tariffs on exports to the US, which limit sales markets.

An automotive summit was recently held in Berlin, after which Merz announced a similar meeting for the metallurgical sector. The government is also working on introducing a subsidized industrial tariff for electricity, and the EC is preparing new protective measures that would cut duty-free steel import quotas by almost half and raise tariffs above the quota to 50%.

As GMK Center reported earlier, German steel companies reduced steel production by 10.7% y/y – to 25.38 million tons in January-September. Oxygen converters produced 17.36 million tons of steel (-13.3% y-o-y), and electric arc furnaces produced 8.02 million tons (-4.6% y-o-y). The annual figure is likely to remain below the 40 million ton threshold for the fourth time, which corresponds to the level of recession.