The European Commission will propose a new method of restricting steel imports

The European Commission will propose a new method of restricting steel imports to protect manufacturers in the region. This was announced on September 10 by EC President Ursula von der Leyen.

In her annual State of the Union address, she noted that global overcapacity is squeezing margins and leaving little incentive to pay a premium for environmental sustainability.

“This makes it difficult for the European steel industry to invest in decarbonization,” von der Leyen said in the European Parliament.

According to her, this is why the European Commission will propose a new long-term trade instrument to replace the protective measures for steel, which are due to expire.

The EC President stressed that Europe will always remain open and welcomes competition, but will protect its industry from unfair competition.

At the end of July, the French Minister of Industry proposed a new initiative on comprehensive EU trade measures on steel imports. It aims to ensure the long-term competitiveness of the European steel industry and steel capacity utilization close to the target level of 85% set by the EC in its action plan for steel and metals. The unofficial document was supported by 11 member states of the bloc. It outlines a roadmap for replacing the protective measures currently in place.

The proposal calls on the EC to develop and present a new system well before the expiry of the current protective measures (June 2026), preferably from the beginning of next year, to ensure a smooth transition and protection of the European market.