It is rumored that the EU’s steel safeguard measures which are scheduled to expire at the end of June are to be extended for one year from the beginning of July, with an increase in duty-free quotas of five percent compared to the current volumes, SteelOrbis has learnt from sources in Brussels with direct knowledge of the matter. However, the European Commission has issued no official notice yet.
The extension of the measures will please European steelmakers, however the extension of only one year may create further uncertainty among suppliers and buyers. “Unfortunately, ArcelorMittal has won again,” one trader stated, commenting on the rumors, as the company wants more protection for the EU steel industry. The European Steel Association had stated that the safeguard measures need to be extended as the critical conditions that led the EU to initiate steel safeguard measures such as the continued risk of serious injury by deviated import surges hitting the European steel industry are still present, as SteelOrbis previously reported.
Meanwhile, the safeguard measures are still being reviewed to decide whether to extend them or not. European Commissioner for Trade Valdis Dombrovskis had stated that a proposal on extending the EU’s steel safeguard measures beyond June is likely to be announced in late May, as reported by SteelOrbis previously.