Monday 9 July 2018

EU member states back safeguard measures on steel after US tariffs

EU member states back safeguard measures on steel after US tariffs

The European Commission’s provisional measures to cap imports of steel into the region following the US tariffs received “overwhelming support” from member states.

They voted in favour of the Commission’s plans to introduce safeguard measures on steel under the form of a Tariff Rate Quote (TRQ), which will come into force after it is formally adopted in July.

It comes after US President Donald Trump confirmed a 25% tariff on imported steel and 10% on aluminium last month, following which the EU slapped a 25% retaliatory tariff on US steel, aluminium and other products.

The Commission said additional EU duties will be levied only after a TRQ, based on the level of traditional imports, is reached.

It added: “The most recent import statistics show trade diversion of steel products into the EU as a result of the additional 25% tariff on steel imposed by the US.”

It marks the preliminary outcome of an investigation towards the possible imposition of safeguard measures on steel launched in March, which will continue at least until the end of the year.

The Commission has also put in place a “surveillance system” for imports of aluminium to be prepared in case action will be required in that sector.

Written by

Bruna Pinhoni

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