Spanish steel association Unesid has expressed deep concern over the US government’s recent decision to double tariffs on mosts steel imports, increasing them from 25% to 50% as of this Wednesday. The organisation states that the move is a drastic escalation in trade protectionism and a rupture of cooperative principles between strategic partners, Kallanish notes.
“We are deeply surprised, and consider this decision both unexpected and alarming. Raising tariffs on European steel to 50% effectively shuts the US market to European steel products,” comments Unesid’s general director, Carola Hermoso. The association notes that while the previous 25% tariff posed challenges, it still allowed costs to be partially shared with clients. The new rate, however, has led to the cancellation of ongoing orders and the imposition of the increased tariff on goods already in transit. “The economic impact is enormous, amounting to billions of euros in losses for the European steel industry,” warns Hermoso.
Beyond Europe, Unesid pointed out that the measure is already having negative effects on the US market itself. “Prices are rising, investments are being halted, and all signs indicate the country is entering a period of severe inflation. This decision is not only unfair but also harmful to both economies [US and Europe]. We need responsibility, long-term thinking, and cooperation,” Hermoso observes.
The United States currently imports 27 million tonnes of steel annually, representing 28% of its consumption. “Raising tariffs to such a level not only jeopardises our exports, but also causes a worrying side effect such as the diversion of global trade flows towards the European market,” according to the general director. Unesid is concerned that Europe may be flooded with unsustainable steel from third countries that no longer have access to the US market.
Spain exported 250,000 tonnes of steel to the US in 2024, valued at over €400 million ($456.9m).
The association sees the loss of European steel’s competitiveness as a structural issue requiring urgent attention. Over the past two decades, the EU’s share of global steel production has plummeted from 21% to 6.5%, even though European steel consumption has remained stable.
This decline is attributed to a significant loss of competitiveness against countries whose products do not meet the environmental, labour, or safety standards required in Europe. According to Unesid, without swift action, Europe risks permanently losing a strategic industry that is vital for economic stability, the green transition, and the continent’s industrial autonomy.
Todor Kirkov Bulgaria
