US will extend EU tariff suspension, negotiations continue

The US will continue the suspension of Section 232 tariffs on EU steel while the two entities actively work toward an agreement, according to a US official.

Kallanish learns that the ambassador to the European Union, Mark Gitenstein, has clarified that the US does not intend to restore 25% tariffs on steel imports imminently.

US tariff rates were scheduled to return to levels imposed in former president Donald Trump’s Section 232 order if the EU and US fail to reach a new agreement by 31 October 2023.

Last week’s Washington, DC, summit lacked specific details about any agreement toward the tariffs but noted that progress was being made (see Kallanish 23 October). At the time, it was unclear whether the 25% levy on EU steel and 10% on EU aluminium would be restored as early as January 2024. Gitenstein on Wednesday indicated that the US does not intend to reinstate the tariffs while the two allies need more time to reach a formal agreement.

Progress was reported regarding steps to address excessive production capacity and increasing supplies of non-market steel and on safeguarding environmental steelmaking standards threatened by non-market products.

Kristen DiLandro USA