The European Union has released the "Steel and Metals Industry Action Plan" to counteract the impact of US tariffs

On March 19, the European Commission released the "Steel and Metals Industry Action Plan," aimed at enhancing the competitiveness of the industry and addressing the potential impact of US steel tariffs. The plan focuses on six core areas: ensuring clean and affordable energy supply, preventing carbon leakage, strengthening and protecting European industrial capacity, promoting metal resource recycling, safeguarding high-quality industrial jobs, and reducing investment risks through market leadership and public support.

In terms of strengthening and protecting European industrial capacity, the European Commission proposed to tighten the current steel safeguard measures from April 1, 2025. The current safeguard measures use a steel import quota mechanism, with imports exceeding the quota subject to a 25% tariff.

The Commission also stated that, given the current steel safeguard measures will expire in June 2026, it plans to propose legislative proposals in the third quarter of 2025 to introduce new trade measures to replace the existing safeguard mechanism, providing stronger protection for the EU steel industry.

The European Commission also indicated that it is ready to use trade protection tools against unfair trade practices in other metal industries.

It is reported that the EU steel industry is spread across 22 member states, with about 500 production sites and providing more than 2.6 million jobs.

On March 12, the US officially implemented a 25% tariff on all imported steel and aluminum. The EU announced on the same day that it would impose retaliatory tariffs on 26billionworthofUSgoods(1euro≈1.09).