The European Commission has removed, effective 1 July, the 15% cap on the category 17 angles, shapes and sections EU safeguard quota. It will also re-introduce country-specific quotas for the UK, Türkiye and Korea, and reinstate the residual quota without a cap, Kallanish notes.
The 15% cap was introduced recently because of undue crowding out of certain traditional suppliers. However, that country-cap is affecting the traditional trade flows of certain trading partners, restricting their access to duty-free volumes to levels below their historical trade levels, the Commission notes.
As part of the upcoming change, the country-specific quota holders will not have access to the residual quota during the last quarter of a safeguard year.
The measure applies to HS codes 7216 31 10, 7216 31 90, 7216 32 11, 7216 32 19, 7216 32 91, 7216 32 99, 7216 33 10 and 7216 33 90. Ukraine will have a quarterly quota exceeding 31,600t, the UK 27,500t, Türkiye 22,800t and Korea 5,000t, with the residual quota at 12,555t.
The duration of the measure remains until 30 June 2026 and the rate of liberalisation remains 0.1% yearly.
Consultations on the change will take place, either in person in Brussels or in a virtual setting, from 12 June until 19 June.
Adam Smith Poland
