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EU Seals Permanent Overhaul of Steel Import Rules With Lower Quota and 50% Tariff

The deal creates a lasting shield to replace a WTO-era system set to lapse this summer.

Overview

  • EU negotiators from Parliament and member states agreed to cap duty-free steel imports at 18.3 million tonnes and charge 50% on any excess, with final sign-off by lawmakers and governments still required.
  • The new ceiling cuts duty-free volumes by about 47% compared with recent years and is designed to take over when the current WTO-linked regime expires around late June 2026.
  • The package assigns shares of the duty-free quota to individual supplier countries and lets unused quarterly allowances roll into the next quarter.
  • Authorities will step up origin checks to curb transshipment, and the text includes a pledge to wind down steel imports from Russia, with some reporting pointing to a phase-out by September 2028.
  • EU officials say the measures respond to global overcapacity led by state-backed Chinese output, while European mills face high energy costs and costly green upgrades that have left average capacity use near 65%, with supporters targeting closer to 80%.