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Steel crisis: urgent meeting and EU summit needed to discuss urgent solutions
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Dear President von der Leyen,
Dear Executive Vice-President Séjourné,
The European steel industry is in crisis, with thousands of job cuts being recently announced, and billions of euros in decarbonisation plans currently being halted.
As such, industriAll European Trade Union and the European Steel Association (EUROFER), the EU social partners for the steel sector, request an urgent meeting with you both to discuss urgent solutions and our Steel Action Plan, which has been endorsed by MEPs across political groups and from different Member States.
The EU steel sector was already suffering from the ongoing energy and raw material crises, and on top of this, the EU market is once again being flooded by cheap foreign steel. In fact, following the economic crisis in China, it is estimated that around 100 million tonnes of Chinese steel are flooding major markets at dumping prices. This, combined with a record-high global steel excess capacity of 560 million tonnes, is catastrophic for the EU steel sector and its workers. However, the issue is bigger than only China, with other steel producing regions of the world, such as South Asia, the Middle East, India, and Japan, rerouting to the EU, depressing global steel prices, and endangering the survival of our sector and investments in the green transition.
Current EU trade defence instruments (TDIs) remain essential, but are unfortunately insufficient to tackle the spill-over of global steel overcapacity. As well as strengthening existing TDIs, the EU steel social partners call for short-term emergency measures and a new comprehensive EU trade initiative as a matter of urgency; import tariffication – taking into account WTO rules - is needed to tackle a double crisis, combining market-distorting export surges with extreme low prices.
With this in mind, we believe that this level of crisis requires a high-level “European Steel Summit”, and we ask you as the European Commission to organise this at the beginning of next year. The Summit should involve the steel social partners, Member States, and high-level officials from the EU institutions, with the aim to address the present crisis. The Summit would be instrumental in preparing the announced “Steel and Metals Action Plan”, as well as other initiatives aiming to lower energy prices, secure the effectiveness of CBAM, access to raw materials, a Just Transition, and to boost investments, such as the Clean Industrial Deal.
The Summit would allow the leaders of industriAll Europe and EUROFER, trade union leaders and CEOs of EU steel companies the opportunity to provide you with a detailed update on the dramatic state of play in our sector and to exchange on recommendations contained in the social partners’ “Steel Action Plan”. Joint cooperation is essential if we are to overcome these crises and save the steel sector and thousands of jobs.
We thank you for considering our meeting request at your earliest convenience and we look forward to your positive response.
Yours sincerely,
Judith Kirton-Darling
General Secretary
IndustriAll European Trade Union
Axel Eggert
Director General
The European Steel Association (EUROFER)
Brussels, 2 April 2025 - The latest data unveiled by the OECD in its meeting in Paris draw an extremely worrying picture, where global steel excess capacity is expected to grow from an estimated 602 million tonnes in 2024 to 721 million tonnes by 2027 – over five times the EU's steel production. The European steel industry - already severely hit by the spill-over effects of global overcapacity and the U.S. steel import tariffs - reiterates the crucial need for strict and effective EU post-safeguard measures to ensure its survival.
Brussels, 19 March 2025 – The Steel and Metals Action Plan, unveiled today by the European Commission, provides the right diagnosis to the existential challenges facing the European steel industry. Concrete measures need to follow swiftly to reverse the decline of the sector, re-establish a level playing field with global competitors, and incentivise investment and uptake of green steel in the market.
Brussels, 12 March 2025 – The imposition of a 25% blanket tariff by the United States' administration on all steel imports exacerbates an already dire market environment for the European steel industry and poses a genuine threat to its future. The sector expects the European Union to respond with an effective revision of the steel safeguard measures that will mitigate the impact of the U.S. tariffs and ensure the longevity of the industry in the long-term, says the European Steel Association.