As previously reported by SteelOrbis, the Italian steel producers association Federacciai had recently expressed full support for the Italian government’s position on the European Green Deal, stressing the need for realistic targets and industrial policies aligned with the economic sustainability of the steel sector. On that occasion, Federacciai president Antonio Gozzi underlined that industry could not be asked to meet climate and environmental goals without adequate instruments to ensure their concrete feasibility, calling Italy’s decision not to join the proposal put forward by the European Commission “a responsible choice”.
At the same time, as highlighted in another recent SteelOrbis analysis, Federacciai had also welcomed the Commission’s proposed permanent safeguard regime, viewing it as a measure that would generally support the competitiveness and stability of the European steel system. Both positions reflected the association’s strong focus on the need for EU-level tools capable of maintaining fair market conditions within the Union.
The announcement by the German government regarding the introduction of a capped electricity price for industry and compensation measures for energy-intensive sectors now enters a context already marked by deep asymmetries. Berlin’s decision - featuring a €50/MWh ceiling and a three-year €4.5 billion support package - revives the concerns raised by Federacciai in recent weeks that, without a genuinely common approach, EU member states with greater fiscal space risk significantly distorting internal competition and undermining the entire framework of the single market.
Gozzi’s comments on the German measure, which he described as “severely distortive”, therefore align with the positions previously expressed, namely, only shared European instruments from a single energy price to a common decarbonization fund - can ensure uniform competitive conditions and support the steel industry’s transition in a sustainable manner.