EU launches surveillance tool to monitor trade diversion
The European Commission has set up a new surveillance tool to help protect the EU against sudden and potentially disruptive surges in imports. This comes amid concerns over redirection of trade flows for products like steel following the implementation of US tariffs, Kallanish notes.
The system aims to prevent harmful trade diversion, which occurs when a significant amount of goods that cannot enter other markets due to high tariffs and other restrictions are redirected into the EU, the Commission notes. By providing fact-based information building on customs data, the surveillance tool will enable the Commission to swifty identify any such import surges and take early and effective action to protect the EU market from adverse impacts.
The Commission is inviting industry associations and member states to review the import trends available on the tool website and provide further market intelligence and data on the industry’s economic situation. This will help it identify specific products that may be at risk.
The new tool builds on Commission President Ursula von der Leyen’s initiative to set up an import surveillance task force to address the challenges posed by trade diversion, in the wake of recent global trading system turbulence.
Additionally, the Commission is setting up a dialogue with China to track possible trade diversion and ensure that any notable developments are duly addressed.
The move comes in direct response to a call to action by Eurometal in April, when the European distributors’ association urged EU institutions to implement faster and more transparent mechanisms to monitor import surges, Eurometal notes. These could threaten the competitiveness of European steel distribution and service centres.
Adam Smith Poland
EU approves Ukraine’s steel safeguard measures exemption for 3 years
The regulation came into effect on Friday June 6 and will run until June 5, 2028.
The announcement marks the first time that the annual renewal of the exemption has been granted a three-year shelf life since it was first implemented in June 2022.
The latest extension, which removes restrictions and additional tariffs on steel imports from Ukraine, aims to “ease the challenges” faced by the country’s “producers and exporters as a result of the war [with Russia],” the Council said in the press release.
But the European Commission reserves the right to suspend the regulation for a period not exceeding 12 months, if steel imports from Ukraine increase to volumes that “contribute significantly to the serious injury or threat of serious injury to [European] Union producers,” the statement reads.
The extension follows US President Trump’s decision to raise tariffs on steel and aluminium imports from its trade partners to 50% on Wednesday June 4.
The US suspended its Section 232 import tariffs on steel from Ukraine in May 2022, under the administration of then-President Joe Biden, following the Russian invasion earlier in the year. But tariff exclusions expired on March 12, 2025.
Market brief
Europe remained Ukraine’s largest trading partner in 2024, with Poland, Bulgaria, Italy, Romania, Greece and Moldova being the major destinations for Ukrainian steel exports, Global Trade Tracker (GTT) data showed. In 2024, steel deliveries from Ukraine to these six countries amounted to 3.38 million tonnes, 58% of Ukraine’s total steel exports of 5.84 million tonnes.
The trend continued in 2025 with a total of over 1 million tonnes of Ukrainian iron and steel delivered to EU states in the first quarter of the year.
European heavy plate round-up
European heavy plate prices softened in the week to 6 June due to limited demand and lower import slab costs.
Distributors have been avoiding restocking due to both subdued end-user demand and bearish sentiment in the market. Plate demand from projects, in the meantime, has remained healthy, but the volumes are smaller compared to distribution and orders were mainly made for longer lead times.
“Plate prices are under pressure from low demand from distribution, but projects are doing just fine,” a German distributor said.
McCloskey’s weekly marker for domestic heavy plate prices (s275jr) in Italy dropped by €15/t on the week to €615/t ex-works.
Italian re-rollers have been selling heavy plate at €600-630/t ex-works Italy.
The decline of import slab prices allowed the Italian re-rollers to give discounts.
“Slab from Asia moved down allowing the re-rollers to accept lower prices for heavy plate,” a mill source said.
Prices for slab from Asia have been reported at $490/t CFR, down by $10/t on the week.
In Germany, domestic prices have also declined over the week due to lack of demand and competition amongst the European mills.
McCloskey’s weekly marker for domestic heavy plate (s235jr) prices in Northwest Europe decreased by €5/t on the week to €665/t ex-works.
German mills have been offering the material at €650-700/t ex-works. The mills offering at the higher end of the range continued to avoid sales of commodity grades plate in the spot market as they have long-term agreements and deals with projects.
A Northwest European re-roller has been offering s355jr-grade heavy plate to Germany at 690/t delivered.
A Czech Republic-based mill has been offering s235jr plate at €640-650/t ex-works. The price was achievable only in Central Europe or in the east of Germany due to transportation costs. The Czech steelmaker was reported to be struggling to fill its order books due to competition with Huta Czestochowa in Poland which has been aiming to increase production from current levels of 30,000 t per month.
Domestic heavy plate supply is expected to further increase after Liberty Galatin in Romania resumed production.
The negative pressure on European mills from overseas offers has decreased, with only some deals reported in Northwest Europe and Spain. Buyers have not been interested in imports due to long lead times and uncompetitive prices.
In Italy, import offers from Asia have been heard at €600/t CFR, while prices in Spain and Northwest Europe have been higher at around €630-640/t CFR.
Maria Tanatar / Benjamin Steven
