On the proposal for a regulation of the European Parliament and of the Council addressing the negative trade-related effects of global overcapacity on the Union steel market
A-10-2026-0012
Committee on International Trade · Rapporteur: Karin Karlsbro
- Voted on · Adopted 606–16–39 · See the decision →
- Full procedure 2025/0726
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Parliament's amended version of the proposed regulation on steel overcapacity sets a 50% out-of-quota duty, requires proof of 'melt and pour' origin, and bans imports of steel melted in Russia or Belarus.¶¶¶ It adjusts quota levels to 2013 market share, reviews product scope within six months, and evaluates the regulation by end-2028 and every three years thereafter.¶¶¶ The text also mandates annual reports, delegated acts by October 2026, and application from July 2026, with special attention to Ukraine and downstream industries.¶¶¶
Committee position. The Committee on International Trade proposes amendments to the Commission proposal, setting a 50% duty, strengthening melt-and-pour rules, banning Russian/Belarusian steel, and adjusting review timelines.¶¶¶
Key points
- Sets the out-of-quota tariff at a 50% duty to minimize trade diversion and allow increased production capacity.¶
- Requires importers to provide verifiable evidence, including a mill certificate with heat number, proving the country of 'melt and pour'.¶
- Prohibits imports of steel melted and poured in Russia or Belarus, with automatic border prohibition and no tariff quota access.¶
- Sets tariff quota levels equal to the 2013 import market share, and considers third-country tariffs, FTA compliance, and unilateral suspensions.¶¶¶
- Requires the Commission to determine within six months whether to expand product scope to include downstream steel products, with a legislative proposal within one year if needed.¶
- Mandates an evaluation by 31 December 2028 and every three years thereafter, covering overcapacity, trade measures, competitiveness, and decarbonisation.¶
- Requires an annual public report to Parliament and Council on implementation, including quota use and imports subject to the 50% duty.¶
- Delegated acts on 'melt and pour' rules must be adopted by 1 October 2026, and the regulation applies from 1 July 2026.¶¶
- Ensures quota allocations reflect Ukraine's candidate status and strategic role, in line with Regulation (EU) 2025/1153.¶
- Calls for monitoring of import concentration and stockpiling to ensure fair quota access, and for guidelines to ease SME compliance.¶¶
Who is affected
- Steel importers must provide melt-and-pour evidence and face a 50% duty on out-of-quota imports.¶¶
- Producers in Russia and Belarus are banned from the EU steel market.¶
- Downstream steel industries may see expanded product coverage after review.¶
- Ukraine is to be treated favourably in quota allocations.¶
Figures and deadlines
Legal basis: Article 207(2) and Article 294(2) of the Treaty on the Functioning of the European Union¶