EP International Trade Committee: new set of trade defence measures

The European Parliament’s International Trade Committee has endorsed a new set of trade defence measures aimed at protecting the EU steel market as existing global safeguards approach their expiry in mid-2026.

By a large majority, the committee approved its position on a regulation designed to counter the impact of persistent global steel overcapacity on the European market. The current WTO-based safeguard regime, in force since 2018, is due to lapse on 30 June 2026. Without a replacement, EU producers would face renewed exposure to high-volume, low-priced imports.

Under the committee’s proposal, tariff-free import quotas would be sharply reduced to 18.3 million tonnes per year – almost 50% below 2024 levels. Imports exceeding the quota, as well as steel products outside the quota system, would be subject to a 50% customs duty. Lawmakers also want stricter rules on origin documentation, strengthening traceability requirements for imported steel.

The draft regulation explicitly maintains compliance with WTO rules. MEPs have asked the European Commission to closely monitor market effects once the system is in place and to retain flexibility to adjust the product scope if needed. In a further escalation of trade restrictions, the text would extend the existing sanctions framework by banning all steel imports from Russia and Belarus.

Speaking after the vote, rapporteur Karin Karlsbro underlined the strategic dimension of the decision, saying: “Steel production is a strategic priority for Europe. In times of geopolitical uncertainty, the strength of our steel industry is central to Europe’s resilience. Today, we have said yes to continued tariff-free trade with Ukraine and no to Russian steel imports into the EU. This is a clear demonstration of European resolve.”

The committee has also authorised the opening of negotiations with the Council, with the aim of finalising the legislation in spring. If adopted in time, the new instrument would take over from the existing safeguards before they expire.

Source: European Parliament, Photo: Fotolia