The European steel association Eurofer has requested a reduction in the safeguard quota volumes and a higher duty on material above quotas amid the ongoing measures review, according to partner at law firm Van Bael & Bellis Yuriy Rudyuk.
The reduction in the quota volumes is to reflect the decrease in steel demand in the bloc. Eurofer data shows apparent steel consumption has decreased nearly 15pc between 2017 and projected 2024 volumes.
The association is looking for the safeguard tariff to increase to 32-41pc from the current 25pc, Rudyuk said.
In addition, a 15pc cap to countries' access to "other countries'" quotas is being requested — this mechanism already applies to the hot-rolled coils (HRC) and wire rod quotas. This would be particularly impactful for the hot-dipped galvanised quotas, which have been typically dominated by Vietnam.
The association would also like for more country specific quotas to be introduced, for no residual volumes to be carried over, and for no new developing countries exemptions. Currently, developing countries who are members of the WTO with small historical supply to the bloc are exempt from the safeguards.
Eurofer did not answer a request for comment. The EC is currently inviting users and producers of steel to submit a questionnaire for the ongoing measures review by 10 January.
