European steel association Eurofer has requested that the European Commission extend steel safeguard import quotas beyond June 2021.
The association is also asking for the initiation of a "transparent review" of the measures, law firm Van Bael & Bellis partner Yuriy Rudyuk said.
Rudyuk expects the likely outcome of the request would be less stringent measures, in order to avoid compensation requests by countries affected by the quotas in the event that they are in place for more than three years.
The safeguards were first introduced in 2018, after the US triggered a wave of protectionism with its Section 232 measures. But the change of the US administration due to take place in January may result in a shift in the position of the US, which could impact the commission's decision.
"If EU safeguard measures are removed at the end of June 2021, several product categories will have a higher risk exposure for anti-dumping, anti-subsidy actions," Rudyuk said.
One such crucial case is the dumping and subsidy investigations into Turkish hot-rolled coil. The definitive decision of the anti-dumping probe will be announced by 13 July 2021, with a provisional measure in place by 14 January. The commission started registering imports from Turkey on 13 November, which allows it to introduce a retroactive measure as well on material custom cleared between 14 November and 14 January. The determination of a possible retroactive duty will be announced once a decision has been made on the imposition of a definitive duty in July.
