As an important step to protect the European steel industry, French Industry Minister Marc Ferracci has proposed a new comprehensive trade measure aimed at addressing the growing risks associated with a global steel oversupply. Due to the fact that the current EU protective measures expire in June 2026, this new initiative aims to ensure the long-term competitiveness of the industry and the utilization of production capacity.
An informal document supported by 11 key EU member states, including Austria, Belgium, Bulgaria, Greece, Italy, Luxembourg, Poland, Romania, Slovakia and Spain, outlines a roadmap for replacing the current protective regime with a more effective, inclusive system starting on January 1, 2026.
According to Mr. Ferracci, global steel overproduction continues to distort European markets, threatening local producers with lower prices and saturated demand. The current system of protective measures, which imposes duties on imports exceeding duty-free quotas, is expiring, making the industry vulnerable.
Key proposals in the new system
Import quotas will remain duty-free to a fixed amount, supporting and protecting trade flows. local capacity; once quotas are exceeded, customs duties will be applied without exception, similar to current measures; the plan will prevent quotas from being monopolized by any particular country, contributing to a more equitable distribution of trade; and the new system will apply to steel and cast iron products that are not currently covered, providing comprehensive protection. Suggested product categories for inclusion include pipes and hollow profiles, electrical steel sheets with a granular structure, cast iron or steel pellets, stainless steel wire, grinding balls, bearing pipes, forged rods and alloy wire.
Timing and urgency
The proposal strongly requires the European Commission to develop and present a new framework well before the expiration of the current protective measures in June 2026. The preferred launch date is January 1, 2026, which will ensure a smooth transition and uninterrupted market protection.
Commenting on the proposal, Axel Eggert, CEO of the European Steel Manufacturers Association (EUROFER), said: "We call on the other Member States, the European Parliament and the Commission to fully support this initiative. These are exactly the coordinated actions that we need to stop the tsunami of cheap steel imports that is destroying Europe's industrial base, workers
