EUROFER warns of growing steel surplus, urges swift EU trade action

Europe’s steel industry is calling for urgent policy action after new OECD data confirmed a further increase in global steel overcapacity, intensifying pressure on international markets.

According to the latest figures, global excess capacity reached around 640 million tonnes in 2025 and continues to rise. At the same time, total global steelmaking capacity has climbed to approximately 2.4 billion tonnes, underlining the scale of the imbalance.

Axel Eggert, Director-General of EUROFER, said the data highlights the severity of the situation. “The OECD findings are clear: global steel overcapacity is not only massive, it is growing. This is an existential threat to European steelmaking, investment and jobs,” he said.

Against this backdrop, EUROFER is urging the European Union to move quickly to adopt a new steel trade measure currently under negotiation. The proposed system is based on tariff-rate quotas (TRQs), designed to allow controlled import volumes while limiting the impact of global overcapacity and trade diversion on the EU market.

The association warned that any weakening of the measure would reduce its effectiveness at a time when market pressures are intensifying.

Eggert stressed that timing is critical, noting that the existing EU safeguard measures are set to expire in June. “The EU negotiators must not dilute the new trade measure currently on the table. It must remain robust and enforceable, and be in place before the current safeguard expires,” he said.

Source: Eurofer, Photo: Fotolia