The European Commission has announced that it has officially launched a customs surveillance mechanism to monitor the import and export of metal waste and scrap, with a specific focus on ferrous metals such as steel. The move comes amid mounting concerns over supply shortages in the EU recycling industry and is part of the broader Steel and Metal Action Plan (SMAP) adopted on March 19.
The plan aims to enhance the competitiveness of Europe’s metals industries by promoting circularity and supporting the EU’s 2040 climate target, a 90 percent reduction in net greenhouse gas emissions from 1990 levels.
Rising scrap exports pose supply risk
A sharp increase in scrap exports to third countries has raised alarms over the availability of metal scrap for domestic recycling. This challenge has been intensified by the United States’ recent 50 percent tariffs on steel and aluminum products, which may lead to higher global raw material prices, incentivizing EU exporters to prioritize third-country buyers.
EU’s scrap trade tracking strategy
Under the new mechanism, the Commission will collect and analyze monthly data on scrap import and export flows, enable real-time transparency for stakeholders, evaluate trends by the third quarter of 2025 to decide on further trade defense instruments if supply risks persist. The EU is also working alongside industry stakeholders to refine the classification of metal scrap into granular categories, allowing for more targeted policies and accurate tracking.
Up-to-date import and export statistics will be published monthly, ensuring transparency and timely insights into the evolving scrap trade landscape.