European steel industry pushes for domestic content rules in green procurement

The European steel industry is pressing EU member states to mandate union-origin requirements for low-carbon steel in public procurement, warning that without such safeguards, the bloc’s Industrial Accelerator Act risks incentivizing imports rather than supporting domestic decarbonization investments.

Eurofer, the European Steel Association, wrote a letter to the Competitiveness Council of the EU, ahead of the May 28 Competitiveness Council meeting, asking that IAA should include a clear “union origin” definition requiring low-carbon steel to be “melted and poured” in the EU27 to qualify for public procurement and support schemes.

“This is not the first time that Eurofer has asked for it. The association has been very vocal on this issue, as it says that without robust origin requirements, minimum procurement shares could be met through imports, undermining Europe’s industrial base as steelmakers make unprecedented decarbonization investments,” the association said in its letter seen by Platts, part of S&P Global Energy.

The industry group called for a harmonized “Made in EU” definition across all relevant provisions, including the low-carbon steel credit under CO2 standards, warning that a fragmented framework would create circumvention risks and weaker investment signals.

 

Stronger demand signal

Eurofer said the current proposal falls short of creating sufficient demand certainty to support steel decarbonization investments. The association urged member states to strengthen minimum requirements in public procurement and extend them to technologies covered under the Net-Zero Industry Act, including wind technologies.

The association said a stronger IAA represents a critical opportunity to decarbonize Europe’s steel industry while strengthening competitiveness, resilience and strategic autonomy.

 

Faster trade defense

European manufacturers are separately pressing the European Commission to accelerate trade defense investigations and beef up staffing at DG Trade, warning that lengthy delays are exposing producers to unfair competition.

A joint statement on May 26 by ferrous and non-ferrous industry associations, including European Metals, the European Association of Automotive Suppliers, and European Aluminium, called for improved EU trade defense measures.

The industry groups said investigation waiting times now stretch several months at the case initiation stage alone, risking irreversible damage, including plant shutdowns. The manufacturers called for the commission to use existing trade defense instruments more flexibly and preventively, addressing unfair practices before major injuries occur. They also urged Brussels to adopt a value-chain approach to investigations and to consider a new instrument to address state-driven distortions from non-market economies.

 

Author: Annalisa Villa

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