The European Commission has launched a public consultation on a new list of US-origin steel imports that could become subject to EU countermeasures. It is also consulting on possible restrictions on EU exports of steel scrap to the US, Kallanish notes.
EU negotiations with the US to find an alternative solution to tariffs are ongoing “both at political and technical level”, the Commission says. However, the bloc “continues to prepare potential countermeasures to defend its consumers and industry, in parallel with the negotiations and in case these fail to deliver a satisfactory outcome. While the public consultation is a necessary step in this process, it does not automatically result in the adoption of countermeasures.”
The tonnages of scrap exported to the US are much larger than the volumes of steel the EU imports from that trading partner. EU scrap exports to the US under HS code heading 7204 were at 189,827 tonnes in 2024, according to Eurostat data. This was down significantly from 694,975t in 2023 and 318,327t in 2022.
Compared to its list published 12 March of US-origin products that could be subject to EU countermeasures, meanwhile, the latest list includes a vast range of flat, long, stainless and other alloy finished steel products. However, the impacted tonnages are insignificant.
The most-imported of the affected products is HS code 7225, which includes alloy hot and cold rolled, and coated strip and plate, as well as electrical steel. This saw imports of 12,732t from the US in 2024, down from 20,279t a year earlier and 15,543t in 2022.
Previously, the products proposed for inclusion in these measures were various HS code 7302 rail products, 7304 seamless pipe products and 7305 and 7306 welded pipe classifications. The tonnages were also low. It is unclear whether these products have now been removed from consideration for potential countermeasures.
The scrap export restrictions are likely to have a larger impact, if US tariffs succeed in their aim of increasing domestic industry capacity utilisation, as higher steel output will require more scrap feedstock. However, the US has substantial supply of its own – after the EU, it is the largest supplier of seaborne scrap.
Adam Smith Poland
