Eurofer calls for swift measures to support steel

The European steelmakers’ association, Eurofer is calling for the European Commission to give immediate and direct support to the steel sector as part of the EU Recovery Plan. This is to support a climate-neutral, digitalised and resilient EU economy, and helping to rebuild after the Covid-19 pandemic, the association tells Kallanish.

The association is proposing a green deal on steel and matching supports for steel-using sector, together with the safeguard quotas cuts, to “… immediately support the steel sector”.

Firstly, Eurofer reiterates that the sector could be at the forefront of decarbonisation. “With the right approach – and provided we can recover from the current crisis – our industry may be empowered to reduce its direct and indirect CO₂ emissions by up to -30% by 2030 on top of around -25% emission reductions already achieved between 1990 and 2018”.

The medium- and long-term goals of lowering CO₂ emissions need nevertheless to be supported by swift support for the sector. “The idling of EU steelmaking facilities and the collapse of steel prices on the EU market under pressure from third-country stockpiles of steel stemming from overcapacity in other regions has put the EU steel industry is in an unprecedently precarious position,” Eurofer says. “Accordingly, we reiterate the need to immediately implement emergency measures to pull back our industry from the brink and stabilise our downstream value chains. Only by ensuring European industry is secured today can it contribute to the green transformation tomorrow.”

During recent months Eurofer has been calling for safeguard quotas to be slashed by as much as 75% in order to “… support industry as we move into the recovery phase.”