{"id":3733,"date":"2021-07-27T09:09:20","date_gmt":"2021-07-27T09:09:20","guid":{"rendered":"https:\/\/www.araniasa.com\/?p=3733"},"modified":"2021-07-27T09:10:12","modified_gmt":"2021-07-27T09:10:12","slug":"eu-renews-steel-safeguard-tariffs-for-three-years","status":"publish","type":"post","link":"https:\/\/www.araniasa.com\/en\/eu-renews-steel-safeguard-tariffs-for-three-years\/","title":{"rendered":"EU renews steel safeguard tariffs for three years"},"content":{"rendered":"

[vc_row type=”vc_default”][vc_column]

EU renews steel safeguard tariffs for three years<\/h1><\/div>
\"null\"<\/div><\/div>[vc_empty_space height=”20px”][vc_column_text]Since July 2018, the European Union has been charging 25% safeguard tariffs on imports of steel products exceeding their quotas. Initially, the tariff was due to expire at the end of June. While European steel companies wanted an extension of the safeguard clauses, steel consumers will be affected by the tariffs in a scenario of peak prices and low availability in the European steel market. This week, Arania reviews the latest developments.<\/b><\/span>[\/vc_column_text][vc_column_text]The EU’s tariff policy aims to ensure the sustainability and employment of European steel companies against commercial pressure from countries such as China. However, the effect of this price control mechanism has been distorted in the last months, as the Chinese economy has reactivated earlier and faster than the European; this situation is affecting the world trade balance. The problem has become more evident with the crisis in the semiconductor and microchip markets, for example, and now it seems to have reached steel and other raw materials.[\/vc_column_text]
<\/span>Safeguard tariffs: a controversial policy<\/span><\/div><\/div>[vc_empty_space height=”12px”][vc_column_text]Now, major players in the rolled steel sector including Arania<\/strong> <\/a>are watching as the EU will extend safeguard tariffs on imports of steel products for another three years, albeit with no changes in the products to which they apply and allowing a 3% yearly liberalisation of tariff rate quotas. Since July 2018, the EU has been charging a 25% tariff on imports of steel products exceeding its quotas. The tariff was originally planned to expire on the 30th of June.<\/p>\n

European steel companies urged the European Commission to extend the safeguard measures, while steel consumers expressed their opposition to the tariffs in a scenario marked by high prices and low availability in the European steel market. For some steel industry leaders, further safeguard measures \u2013 when steel producers struggle to meet demand and steel prices are at record highs \u2013 will negatively affect the steel processing industries and the automotive sector.[\/vc_column_text][vc_empty_space height=”12px”]

<\/span>The whole automotive sector is under pressure<\/span><\/div><\/div>[vc_empty_space height=”20px”][vc_column_text]Briefly, the situation is as follows: automotive suppliers normally only purchase steel outside the EU when the continent is unable to meet the production capacity required to satisfy the demand for specialised steel<\/strong><\/a>. Therefore, as the main automotive leaders believe, the maintenance of the safeguard instrument with only a minimal expansion of the quota (to buy abroad) does not work for the interests of the European economy as a whole.<\/p>\n

In addition, the European Commission also gave the final push to the so-called \u201cborder adjustment\u201d, a set of measures that will impose tax barriers on steel imports from countries where environmental legislation is much more lax. This is part of an ambitious legislative package with the catchy name of \u201cFit for 55\u201d, aiming to cut CO2 emissions by 55% in the Old Continent.<\/strong><\/a>[\/vc_column_text][vc_empty_space height=”12px”]

<\/span>Highlights:<\/span><\/div><\/div>[vc_empty_space height=”20px”][vc_column_text]Safeguard tariffs: protective measures consisting of tariff quotas reflecting traditional trade flows with third countries, above which a 25% duty is charged on imports.<\/strong>[\/vc_column_text][vc_empty_space height=”12px”]
<\/span>Current situation:<\/span><\/div><\/div>[vc_empty_space height=”20px”]
    \n
  • Steel prices reach record highs<\/li>\n
  • High prices + low availability<\/li>\n
  • In this scenario, extending the safeguard measures will affect the steel processing industries<\/li>\n
  • In particular, this measure will continue to put the automotive supply chain under pressure<\/li>\n<\/ul>\n<\/div>[vc_empty_space height=”12px”][\/vc_column][\/vc_row]<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"

    Since July 2018, the European Union has been charging 25% safeguard tariffs on imports of steel products exceeding their quotas. <\/p>\n","protected":false},"author":2,"featured_media":3727,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13,9],"tags":[],"class_list":["post-3733","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-noticias-generales-en","category-uncategorized","category-13","category-9","description-off"],"wpml":{"es":{"post_id":"3720","post_title":"La UE prorroga tres a\u00f1os los aranceles de salvaguardia del acero","post_excerpt":"Desde julio de 2018, la Uni\u00f3n Europea est\u00e1 cobrando aranceles de salvaguardia del 25% sobre las importaciones de productos de acero que exceden sus cuotas. En un principio, la vigencia del arancel deb\u00eda concluir a finales de junio.","post_url":"https:\/\/www.araniasa.com\/la-ue-prorroga-tres-anos-los-aranceles-de-salvaguardia-del-acero\/"},"fr":{"post_id":"3736","post_title":"L'UE prolonge de trois ans les mesures de sauvegarde sur l'acier","post_excerpt":"Depuis juillet 2018, l'Union europ\u00e9enne pr\u00e9l\u00e8ve des droits de douane de sauvegarde de 25% sur les importations de produits sid\u00e9rurgiques qui d\u00e9passent les quotas fix\u00e9s. Ce tarif devait initialement expirer \u00e0 la fin du mois de juin. ","post_url":"https:\/\/www.araniasa.com\/fr\/lue-prolonge-de-trois-ans-les-mesures-de-sauvegarde-sur-lacier\/"},"de":{"post_id":"3738","post_title":"EU verl\u00e4ngert Stahl-Schutzz\u00f6lle um drei Jahre","post_excerpt":"Seit Juli 2018 erhebt die Europ\u00e4ische Union Schutzz\u00f6lle in H\u00f6he von 25 % auf Importe von Stahlprodukten, die ihre Quoten \u00fcberschreiten. Der Tarif sollte urspr\u00fcnglich Ende Juni auslaufen. ","post_url":"https:\/\/www.araniasa.com\/de\/eu-verlaengert-stahl-schutzzoelle-um-drei-jahre\/"}},"_links":{"self":[{"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/posts\/3733","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/comments?post=3733"}],"version-history":[{"count":0,"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/posts\/3733\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/media\/3727"}],"wp:attachment":[{"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/media?parent=3733"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/categories?post=3733"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.araniasa.com\/en\/wp-json\/wp\/v2\/tags?post=3733"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}