EUROMETAL took part in the 2025 General Assembly of UAHE (La Unión de Almacenistas de Hierros de España), held yesterday in Madrid, bringing together key actors from Spain’s steel distribution and warehousing sectors.
EUROMETAL was represented by Vice-President Fernando Espada, who also serves as General Manager of Tata Steel Layde in Durango. He delivered a keynote presentation on the current challenges facing the European long and flat steel markets, offering a comprehensive overview of macroeconomic trends, industrial activity, and market expectations across the continent.
Espada highlighted a diverging trend between the longs and flats segments. The construction sector, which primarily drives demand for long products, had shown weakness in recent quarters — largely due to elevated borrowing costs. However, recent signs of stabilization and expected interest rate easing have boosted sentiment. The EU27 Public Infrastructure Index indicates a positive trajectory in the medium term, signaling potential recovery in public works and civil engineering activity.
On the other hand, the flat steel market remains subdued, with demand levels described as “almost flat.” Despite this, producers and service centers are maintaining capacity, cautiously optimistic about a potential industrial rebound.
Beyond product-specific dynamics, Espada emphasized that the overarching challenge for European industry is to sustain activity and safeguard steel consumption amid structural transitions — including digitalization, decarbonization, and global trade pressures.
“Keeping industrial activity in Europe is essential not only for steel consumption but for the resilience of our entire value chain,” he noted.
Espada also addressed the implementation of the Carbon Border Adjustment Mechanism (CBAM) and its expected impact on the steel supply chain. While reaffirming support for the EU’s decarbonisation objectives, he stressed the need for clear guidance, transparency, and harmonized implementation across Member States to ensure fair competition and operational predictability for importers, traders, and service centers.
He pointed out that many distributors are still navigating the complexities of CBAM compliance and urged policymakers to engage closely with the steel distribution sector, particularly to avoid placing disproportionate burdens on SMEs.
EUROMETAL’s presence at UAHE’s General Assembly underlines the importance of collaboration between national federations and the European umbrella. Forums like this are essential for sharing knowledge, aligning on challenges, and strengthening the role of steel distributors and processors across Europe.
