European Commission unveiled the Steel and Metals Action Plan
Today, the European Commission unveiled its Steel and Metals Action Plan, aimed at securing the competitiveness, resilience, and decarbonization of Europe’s steel and metals industries. This initiative addresses global trade pressures, high energy costs, and the need for sustainability investments, reinforcing the sector’s strategic importance to automotive, clean tech, and defense industries.
The plan focuses on ensuring affordable energy access by supporting tax flexibility and promoting the increased use of renewable hydrogen to reduce production costs. To prevent carbon leakage, the Commission will strengthen CBAM with anti-circumvention measures and extend its scope to downstream steel and aluminum products.
In response to global overcapacity and unfair trade practices, the Commission will introduce new long-term steel safeguards and assess the implementation of a “melted and poured rule” to reinforce fair competition. Recycling targets for steel and aluminum will also be increased, with potential trade measures on metal scrap to ensure sustainable supply.
To support industrial decarbonization, the Commission has announced a €100 billion Industrial Decarbonisation Bank, with a €1 billion pilot auction in 2025 aimed at electrification and low-carbon steel production. Additionally, the plan emphasizes the protection of 2.6 million jobs in the steel and metals industry through labor policies that support fair transitions and skills development.
“The steel industry has always been a core engine for European prosperity. With today’s Action Plan, we are offering concrete solutions for a thriving European steel industry”, stated Ursula von der Leyen, President of the European Commission.
Earlier this morning, Alexander Julius, President of EUROMETAL, was featured on BBC News to discuss the EU Steel Action Plan. He highlighted the crucial role of steel distribution and trade, the challenges posed by new trade policies, and the importance of balancing competitiveness with sustainability in the sector.
Commission’s Action Plan to secure a competitive and decarbonised steel and metals industry in Europe
Rebar prices inch up in Germany
German rebar mills are attempting another price hike gentle enough to be accepted by the market, observers believe.
After some bold announcements in December and January, mills have lately tried for more modest hikes, which have brought base prices to a solid €380/tonne ($415). The upcoming hikes are heard to be for €10-15/t, which would inch base prices towards the €400 mark, which was last tried in December. The delivered price, including the fixed size extra, would thus come to €660-665/t.
“Three leading mills have announced this [hike], and the others will likely follow,” a buyer of a distributor chain tells Kallanish, indicating that he finds the increase reasonable enough to be accepted. Another buyer concurs, noting that February’s prices were realistic, and that he expected another step to follow.
He notes wire mesh prices could develop stronger than those for bar, against the background of reports of a possible shortage of wire rod. He cites the price recommendation of a large purchasing cooperative, which gives base prices for bar at €390 and for wire mesh at €500+.
Another manager has informed his customers about the increases, but warns against making big restocking purchases that could fuel price hikes out of proportion with the actual market.
Such advice puzzles the buyer of the distribution chain. “We tell our customers you better buy now, because we don’t think prices will go down any more.”
Christian Koehl Germany
