EU Parliament Slashes Duty-Free Steel Imports, Increases Tariffs to 50%
EU Parliament Approves New Steel Import Restrictions
BRUSSELS, May 19 (Reuters) - The European Parliament approved on Thursday limits to duty-free steel imports into the European Union in a move designed to protect the bloc's steel sector and increase its capacity utilisation to 80%.
EU lawmakers voted by 606 to 16 in favour of the measures, with 39 abstentions. The measures are to take effect from July 1.
Key Elements of the New Steel Import Measures
Reduction in Tariff-Free Steel Imports
• The EU will reduce its tariff-free steel imports by 47% from 2024 levels to 18.3 million metric tons per year
Increase in Tariffs Above Quota
• For volumes above that level, tariffs of 50% will apply, up from a current 25%.
Stricter Traceability and Country-Specific Quotas
• The EU will apply stricter rules on "melt and pour" traceability to determine where the steel is originally from and avoid circumvention of tariffs.
• The European Commission will set quantities of duty-free steel per country by July 1. Lawmakers say the measures are designed to shield the EU from overproduction, but some have expressed support for maintaining higher volumes for Ukraine, which has been fighting Russia's invasion for over four years.
Main Sources of EU Steel Imports
• Last year, the main sources of steel imports into the EU were Turkey, South Korea, Indonesia, China, India, Ukraine, and Taiwan.
(Reporting by Philip Blenkinsop. Editing by Mark Potter)
