Published by Global Banking & Finance Review®
Posted on July 24, 2025
2 min readLast updated: January 22, 2026
Add as preferred source on GoogleThe EU is monitoring scrap metal trade due to shortages, impacting smelters. U.S. tariffs worsen the situation, with potential EU trade actions pending.
BRUSSELS (Reuters) -The European Commission has started monitoring imports and exports of scrap metal including steel, aluminium and copper after stark industry warnings of shortages and the risk of smelter shutdowns, it said.
EU smelters have been struggling for some time to secure supplies of scrap metal, a major input and an integral part of the EU's push to reduce carbon emissions. Much of the scrap is exported to Asia and Turkey.
U.S. President Donald Trump's tariffs on primary steel and aluminium have exacerbated the problem as dealers have started selling scrap aluminium to U.S. smelters.
"The EU is experiencing a decline in metal scrap availability ... The introduction of a 50% tariff by the United States on a wide range of steel and aluminium products (excluding scrap) may further worsen this issue," the Commission said in a statement on Wednesday.
The Commission will decide what action to take by the end of September based on the data.
Meanwhile, duties targeting exports to the U.S. could take effect sooner if the EU fails to reach a trade agreement with Trump and decides to retaliate with countermeasures.
(Reporting by Julia PayneEditing by Mark Potter)
The European Commission has started monitoring imports and exports of scrap metal, including steel, aluminium, and copper, due to warnings of shortages.
EU smelters have been struggling to secure supplies of scrap metal, which is crucial for reducing carbon emissions, partly due to exports to Asia and U.S. tariffs.
U.S. tariffs on primary steel and aluminium have worsened the supply issue, leading dealers to sell scrap aluminium to U.S. smelters instead.
The EU may implement duties targeting exports to the U.S. if a trade agreement with President Trump is not reached, as a form of retaliation.
The European Commission plans to decide on what actions to take by the end of September based on the data collected.
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