Written by Anna Beverry and Eric Onkad
(Reuters) – The European Commission announced on Wednesday an action plan to make the sick steel sector in Europe more competitive and fever than the impact of American definitions on steel and aluminum imports, prompting reactions from the main industrial actors, analysts and thought tanks.
The steel and mineral action plan, a major component of the clean industrial deal of the European Union, aims to revive its industries to remain competitive with its Chinese competitors and the United States.
European steel makers, who have long complained of cheap Chinese imports, also warn of a possible flood of surplus of steel in the region, where exports dedicated to the United States can be transferred to Europe due to the American tariff.
Reactions to the “Steel Action Plan” the European Union
ArcelleMittal: “We are encouraging the direction shown in the hard and metal action plan, which was published today,” said the group’s CEO Aditia Mittal.
“The details published in the steel and mineral work plan show that they understand the urgency of the situation and are ready to address some critical structural issues, including commercial defense, gaps in adapting the carbon borders, and the lack of organization to advance the demand for low carbon steel. This now needs support with quick business that can place unwanted trade, and resource smuggling.”
“In addition, it is still necessary to process high energy costs that make it very difficult for the industry to move forward with important reinstalization projects.”
Thyssenkrup Steel Eurobe: Germany steel maker:
“The steel action plan is a leading step towards securing competitiveness and removing carbon in the European steel industry.”
“It is especially worth noting the priority of clear trade protection, which is extremely important to ensure the competitiveness of the European steel industry.”
“In the face of global excessive capacity and unfair commercial practices, effective protection is necessary to protect jobs and ensure a level stadium.”
Luxembourg Group of Steel Bank Aperm:
“Aperram strongly supports any initiative to introduce long -term measures that guarantee strong protection for the European Union steel sector against the negative effects of excessive steel production from Asia once the current protection measures ended in June 2026.”
“The main point is how the European Commission translates this high -level action plan into concrete legal measures: an urgent action is needed and therefore the proposed measures must be implemented quickly and effectively.”
“In particular, with regard to commercial defense, we believe that concrete procedures can be implemented already now, without waiting for the post -future tool that will enter into force from July 2026.”
Steamker Steamker Outokumpu:
“Outokumbu is pleased that the European Commission recognizes steel as one of the main industries in Europe and takes decisive measures to enhance its competitiveness.”
“Steel & Metals is clearly defining the challenges facing the European steel industry, but it still lacks solutions to some challenges.”
“This industry is still threatened through global extra capabilities and global distortions from China and other countries. (…) These challenges need to alleviate more firm solutions, including replacing the current guarantees with more effective measures than July 2026,” said Outokumpu.
Hydro, Norwegian aluminum producer Hydro: “With increased customs tariffs on aluminum, there is a danger that Europe may become a land flooding of aluminum producers looking for other markets. This may in turn implement protection measures for the European Union.”
“Norway produces about 40 % of aluminum in the European Union, and it is among the largest critical raw materials for the European industry.”
EUROFer Steel Association:
“With the plan of steel and minerals today, the European Commission will send a clear message: the strong European Union needs a strong European steel industry,” said Dr. Henrik Adam, President of the European Steel Association (Eurofer).
“By addressing unfair trade to the closure of gaps in the mechanism of adjusting the carbon borders to recognize the strategic and environmental value of steel scrap, the action plan determines the decisive areas of our sector. It is now time to implement meaningful solutions through ambitious measures.”
“Despite the positive proposals submitted by the committee, energy is still the elephant in the room. High energy prices not only affect steel and mineral production, but they decrease the entire European industrial value chains. Additional work to reduce energy costs is very important.”
Maxime Kogge, an analyst at ODDO BHF:
“After a disappointing result of the Sofeguard review that was published last week, it is encouraging to see that the European Union goes further in dealing with import pressure by entering the base of melting, pouring and committing to replace protection through another similar mechanism after 2026 despite the theoretical rules of the World Trade Organization like this scheme.
“The proposed changes on CBAM are also positive as it seems that the committee intends to address structural gaps in the current mechanism.”
“However, concrete procedures will only be announced at a later stage in 2025, and the implementation is largely present in the hands of member states that may have other priorities in the current context.”
(Anna Beverry, additional reports by Eric Ontad, Christophe Stez, Pratima Desai, Julia Pine and Philip Plandersop, edited by Alexandra Hudson)
