The European association of steel importers and distributors EURANIMI has called on the European Commission to revise Ukraine's country-specific tariff-rate quota for seamless stainless steel tubes, arguing that the current allocation does not adequately reflect the impact of the ongoing war on Ukrainian steel producers. In its statement, the association proposed increasing Ukraine's guaranteed annual quota to at least 8,400 mt from January 1, 2027, compared to the current allocation of 6,524 mt.
According to EURANIMI, the European Commission's regulation provides for preferential treatment of Ukraine in the allocation of steel import quotas but uses imports recorded during 2022-2024 as the reference period. The association argued that this methodology disadvantages Ukrainian producers because the reference period coincides with disruptions caused by Russia's invasion of Ukraine, including damage to infrastructure, interruptions to energy supplies and difficulties maintaining production and exports.
EURANIMI proposes using pre-war trade volumes to calculate Ukraine's quota
EURANIMI noted that Ukraine exported an annual average of approximately 14,300 mt of seamless stainless steel tubes to the EU during the four years preceding the Russian invasion in February 2022. However, under the current quota allocation system, Ukraine's country-specific annual quota stands at 6,524 mt, approximately 55 percent below its pre-war export volumes. Imports exceeding the quota are subject to a 50 percent tariff.
The association stated that the European Commission applied a preferential allocation rate of 60 percent to Ukraine's average imports during 2022-2024, compared to the generally applied rate of 50 percent. Nevertheless, EURANIMI argued that using wartime trade volumes as the basis for the calculation effectively offsets the intended preferential treatment.
Accordingly, EURANIMI proposed maintaining the 60 percent allocation rate but applying it to Ukraine's average exports of approximately 14,000 mt during 2018-2021. Under this approach, Ukraine would receive an annual quota of at least 8,400 mt from January 2027.
The association highlighted the situation of Ukrainian seamless stainless steel tube manufacturers Centravis and Oscar, both located in Nikopol, which have continued operating despite security risks, energy supply disruptions and logistical difficulties.
Shared EU quota reportedly exhausted by Indian imports
EURANIMI also raised concerns regarding Ukraine's access to the additional tariff-rate quota shared among countries benefiting from preferential trade arrangements with the EU.
According to the association, Ukrainian manufacturers face difficulties competing for this shared quota because they generally transport products by truck as production becomes available, rather than accumulating large inventories for shipment. In contrast, Indian exporters can transport larger volumes by sea and store products in bonded warehouses at EU ports ahead of the opening of each quarterly quota period.
EURANIMI claimed that, in both quarters since the new quota system entered into force in July 2026, Indian imports exhausted the shared quota on the first day of the quarter, leaving no allocation available for Ukrainian manufacturers.
The association called on the European Commission to reconsider Ukraine's quota allocation ahead of 2027, arguing that the country's guaranteed access to the EU market should reflect established pre-war trade volumes rather than the reduced shipments recorded during the war.
