MEPS International’s latest Speaking of Steel podcast debates revisions to the European Commission's steel import safeguard measures and the further trade defence measures that might follow.
Recorded as the new rules came into force, the new episode details the changes that were implemented from April 1 and draws on MEPS’s research to consider market participants’ responses. It also considers the potential influence of further trade defence measures proposed in the Commission’s Steel and Metals Action plan.
Market analyst Jon Carruthers-Green said that certain steel supply “pinch points” could emerge as a result of the new caps applied to exporting nations’ use of the “other countries” quota category for various steel products. He said that the new restrictions on tariff-free imports had been determined by “how severely the import pressure was assessed to be”.
“For hot rolled coil, that actually has been dropped down to 13% (from 15%), but then it’s also been introduced for cold rolled coil, plate, rebar and even on some stainless products now”, said Carruthers-Green.
Fellow steel market analyst Chris Jackson said European steel buyers’ uncertainty about steel imports, which resulted from speculation about the possible changes, had not reduced following their implementation.
He said: “Buyers were taking a step back, adopting a wait and see approach and keeping their order placement to a minimum.
“Now we’re in that post-announcement phase you’re starting to see some new trends emerge, but we’ve certainly got that feeling that imports come with an element of risk.”
Among the topics discussed in this latest episode of the Speaking of Steel podcast are:
- The European Commission’s plans for new import safeguard measures, post-2026, and a possible “melted and poured” rule for steel imports
- European steel buyers’ exploration of new import sources to avoid duties
- European steelmakers’ continued efforts to raise prices amid the perception of restricted supply
