The European Steel Association (EUROFER) has stated that steel industry associations in the US, Europe, Asia and Africa have renewed their calls on governments to expand their work in the Global Forum on Steel Excess Capacity (GFSEC).
Steel industry associations throughout the world have expressed their concerns about the recent increase in steel overcapacity at a time when steel demand is depressed by the coronavirus pandemic. They have commended the commitments made by the members of the steel forum to create transparency in regional markets and capacity evolutions and to review capacity increases. However, the scale and persistence of excess capacity in the steel industry calls for more ambition in the transparency and policy-related work of the GFSEC, the associations noted.
The steel associations specifically call on participating governments in the forum to develop stronger disciplines on industrial subsidies and other support measures that contribute to excess capacity and distort markets; to ensure fair trade; to deepen the analysis of the drivers of steel capacity expansions, to expose subsidized investments; and to communicate to G20 Leaders on the need for expanded efforts to address the growing steel excess capacity crisis.
The steel associations have also called on non-participating governments to resume active participation in the GFSEC’s work.