Metals & mining (AO) | European Council approves new steel shield

Research evidence excerpt

Metals & mining (AO) | European Council approves new steel shield

News comment

Release date: 09 June 2026

Boris Bourdet, CFA

Equity Research Analyst

+33 1 70 81 57 25

Metals & mining bbourdet@keplercheuvreux.com

Europe

European Council approves new steel shield

Key points:

The European Council has formally adopted the new steel trade measures yesterday, removing any remaining uncertainty over

their entry into force on 1 July 2026, when they will replace the current safeguard regime.

Duty-free steel import quotas will be reduced by 47% to 18.3 Mt, while tariffs on volumes exceeding those quotas will increase

from 25% to 50%, with the objective of restoring import market share to 2013 levels.

EUROFER estimates that the measures could lift EU steel capacity utilisation from around 65% to 80–85%. Producers such as

ArcelorMittal and Salzgitter have already indicated plans to restart idled blast furnaces to capture demand previously met by

imports.

The European Council yesterday formally adopted the new measures aimed at protecting the European steel industry from global

overcapacity.

This decision comes as no surprise. The European Parliament had already approved the measures by a very large majority on 19

May.

There is now effectively no remaining risk to the measures entering into force on 1 July 2026. They will replace and strengthen the

existing steel safeguard measures, which expire on 30 June.

As a reminder, the new framework aims to bring steel import market share back to levels considered normal, namely those

prevailing in 2013. To achieve this, duty-free steel import quotas into the EU will be reduced by 47% to 18.3 Mt, while tariffs on

volumes exceeding those quotas will be doubled to 50%.