Executive Vice-President Stephane Sejourne said on Tuesday that the European Commission would look into ways to extend measures to limit steel imports as part of an overall plan to protect the sector with the intention of decarbonizing.
Reuters reported that Sejourne, the French commissioner responsible for the European Union’s industrial policy, told reporters during a visit to the ArcelorMittal plant in Ghent that a plan for steel and other metals would be a priority at the start of his decree.
Sejourne, part of the EU executive that entered office on Dec. 1, said the plan would seek to alleviate high energy costs and protect against Chinese overcapacity as EU steelmakers cut carbon emissions to meet the EU’s 2050 goal of carbon neutrality.
In 2018, the EU implemented safeguard measures to cap the volume of tariff-free steel entering the bloc to prevent a flood of imports following the imposition of U.S. steel tariffs under President Donald Trump, effectively shutting the U.S. market.
Under World Trade Organization rules, safeguards can only be in place for a maximum of eight years, meaning they will run out during Trump’s second term in mid-2026. Trump has previously criticized the EU for not purchasing enough American goods. he has warned that the EU could face significant consequences, or a “big price,” for not increasing its imports of U.S. exports.
“The United States promises to put up trade barriers against us. Europe cannot be the only continent where overcapacity is poured out in competition against our industries,” Sejourne told Reuters.
He commented that the sector needed protection to transition into green steel, even after the safeguards expire.
ArcelorMittal stated that it is delaying planned green investments due to uncertainty over EU policy.
Europe head Geert Van Poelvoorde said, “I tell them that if we only shrink by 30%, then I will be very happy. This will happen. The question is, do we keep 80 or 70%, or do we go further? This is the call that the Commission must take.”