The European Commission is reportedly considering implementing a 50% tariff on steel imports exceeding specified quotas, according to a draft document seen by Handelsblatt. This move signals a potential response to increasing protectionism in the United States and a surge in competitively priced steel imports from China.
The proposed tariff level, described as appropriate “to minimize the risk of trade diversion” takes into account existing steel tariffs in other key markets. Alongside the increased tariff, the Commission also intends to revise the current allowance for duty-free imports.
Overall, the plan limits annual steel imports into the EU to 18 million tons. This represents a significant reduction, approximately half the import volume recorded in 2013, which serves as the reference year. Specific import quotas will be determined for individual product categories and are subject to potential adjustments during ongoing negotiations.
Currently, the EU levies a 25% import tariff on steel, initially introduced in 2018 as a countermeasure to tariffs imposed by the United States under the administration of former President Donald Trump. This measure previously operated under guidelines established by the World Trade Organization (WTO) and is scheduled to expire in June 2026. Recent adjustments to duty-free allowances have diminished the effectiveness of the current tariffs.
