The European Parliament has approved new measures to protect the EU steel market

Members of the European Parliament have approved new measures to protect the EU steel market. This is stated in a press release from the institution.

The relevant regulation introduces lower import quotas for steel—duty-free import volumes are limited to 18.3 million tons per year (a 47% decrease compared to the 2024 quotas). In addition, a 50% tariff (instead of the current 25%) will apply to imports exceeding the quotas and to steel products not covered by the quotas.

It is also noted that Ukraine’s status as a candidate country with specific security challenges will be taken into account during the allocation of quotas.

The goal is to help the EU steel industry counter the negative effects of global overproduction in the steel market linked to trade after the current safeguard measures expire on June 30, 2026 (they have been in effect since 2018).

The lead negotiator on this issue, Karin Karlsbro (Renew, Sweden), noted that Europe needs a strong and competitive steel industry built on trade, innovation, and fair competition. Combating the negative trade effects of global overcapacity is of the utmost importance.

She also welcomed the fact that the exemption for Russian steel slabs will not be extended.

“At the same time, Ukraine should not be punished by EU measures while its steel industry is under direct attack by Russia. Ukraine is not a source of global overcapacity. We must treat them as a future EU member and strategic partner, and the EU must now fulfill its promise that Ukraine will receive special status under the new regulation,” Karlsbro noted.

The regulation, approved by the European Parliament, also introduces a “smelting and casting” rule, which will enhance traceability and limit circumvention through minimal processing in third countries. The European Commission will have to take the origin of steel into account when allocating annual quotas.

The document must be officially approved by the European Council and will take effect on July 1, 2026.

As a reminder, Ukrainian steel producers and officials have warned that the EU’s plan to halve steel import quotas will harm Ukraine, which is trying to finance its defense amid Russian aggression. The bloc’s new protective measures could cost the country up to €1 billion in export revenue.