The EU’s recently revealed trade measure, which replaces the previous safeguard regime with a stricter tariff-rate quota system, has drawn broadly supportive reactions from European steel producers, who see the implementation as a necessary response to global overcapacity and import pressure, while UK-based industry representatives have welcomed the preservation of partial tariff-free access but warned that reduced quotas and tougher trade conditions could weigh on exporters and downstream steel users.
The European Commission detailed the country-specific quota allocations under the new post-safeguard regime, setting an annual tariff-free volume of 18.35 million mt across 26 steel product categories, with quotas divided into quarterly volumes and split between FTA partners and other exporting countries, as previously reported by SteelOrbis.
European steel industry welcomes stronger protection
The European Steel Association (EUROFER) has welcomed the EU’s new steel trade measure, describing it as a landmark shift in industrial and trade policy that could help restore up to 15 million mt of lost European steel production.
EUROFER director general Axel Eggert stated that the measure marks a turning point for the European steel industry, providing breathing space for producers to recover while supporting competitiveness, decarbonization and industrial resilience. The association added that the new framework should eventually be extended to downstream steel-containing products to protect the broader manufacturing value chain from import pressure.
Despite the tighter regime, EUROFER noted that 18.3 million mt of steel imports will still be allowed into the EU duty-free each year, stressing that TRQ allocations should remain fair and reflect established trade flows and integrated supply chains.
Germany calls for loopholes to be closed
German Steel Federation (WV Stahl) also welcomed the new changes, calling it an effective response to global overcapacity and rising import pressure. While praising the introduction of a more flexible quota mechanism and 50 percent tariffs once quotas are exhausted, the association urged the European Commission to close remaining loopholes in the trade flow by extending protection to all steel products, including downstream steel-intensive goods, and by introducing a mandatory "melted and poured" rule to determine the true origin of steel products.
UK industry warns of tougher trade conditions
In contrast, UK steel producers expressed concerns over reduced access to the EU market. Tata Steel UK CEO Rajesh Nair said the combined effect of the EU’s revised quota allocations and the UK’s own steel import measures is likely to have a significant impact on the company, adding that fair and workable access to the EU remains essential for the long-term sustainability of the UK steel industry.
Meanwhile, UK-based trade association UK Steel welcomed the introduction of dedicated UK country allocations, noting that they provide greater certainty for exporters, as more than 70 percent of UK steel exports are shipped to the EU. However, the association stressed that further discussions are needed to improve access for key high-value steel products as UK-EU trade negotiations continue.
The British Chambers of Commerce (BCC) described the announcement as the "final piece of the jigsaw" for the UK steel sector, highlighting that roughly two-thirds of UK steel exports will remain tariff-free for the next five years. Nevertheless, the organization warned that UK producers and downstream industries will continue to face a more challenging trading environment, urging the government to remain open to further adjustments if the new arrangements prove detrimental to businesses.