EC officially announced protection measures for the domestic steel industry.

Illustration photo - Photo: Bloomberg

The move comes as the European steel industry faces a severe crisis, with 18,000 jobs set to be lost by 2024 alone.

According to the latest announcement from the EC at the plenary session of the European Parliament in Strasbourg, steel import quotas will be cut by nearly 50%, allowing only about 10% of the market to be opened to steel from outside the bloc. Notably, the tax rate for shipments exceeding the quota will double, from 25% to 50%.

The European Commissioner for Prosperity and Industrial Strategy, Stéphane Séjourné, stressed that this was the “strongest safeguard” ever proposed for the European steel industry. The measures would have no end date and would be accompanied by a strict anti-circumvention mechanism. Responding to concerns about the impact on prices, Séjourné said the impact would be “very limited”, estimating an increase of around 50 euros ($58.20) per car and 1 euro ($1.17) per washing machine – “a fair price for European sovereignty and jobs”.

The European steel industry currently employs 300,000 people directly in 20 member states, but is facing a global overcapacity of up to 700 million tonnes. Despite having a production capacity of 135 million tonnes per year, European steel mills are currently operating at only 70% of their capacity due to falling demand.

ArcelorMittal, one of Europe’s largest steelmakers, has expressed strong support for the new measures. However, the adoption of the regulation – expected in early 2026 – remains a challenge, with only 11 of the 27 member states, led by France, having pledged to back the proposal.

Source: https://vtv.vn/ec-chinh-thuc-cong-bo-cac-bien-phap-bao-ho-nganh-thep-noi-khoi-100251008101942172.htm