BRUSSELS (dpa-AFX) - In a move to protect the European steel industry, the EU is tightening its import regulations. Representatives of member states and the European Parliament reached an agreement overnight on Tuesday to significantly reduce the volume of steel that can be imported into the EU duty-free. Under the new rules, the duty-free import quota will be capped at 18.3 million tonnes per year, representing a decrease of approximately 47 percent. According to a statement from EU member states, any imports exceeding this threshold will be subject to a 50 percent punitive tariff, doubling the previous rate.
European manufacturers have been struggling against cheap steel exports, particularly from China, India, and Turkey. The statement noted that the new regulations are designed to shield the European market from global overproduction. To this end, the agreement also specifies the allocation of the duty-free steel quota among third countries.
At the same time, the framework aims to maintain a degree of flexibility. For instance, unused import quotas may be carried over from one quarter to the next. The existing regulation on import laws is set to expire on June 30. For the new rules to take effect, formal approval from member states and MEPs is still required, though this is considered a mere formality./tre/DP/zb
