There were 96 representatives from 36 different producers among the 302 registered delegates from a total of 41 different countries. There were also 75 registrations representing 43 different raw material suppliers.

At the opening of the conference, Ioannis Manessis, chairman of IREPAS, stated that the global steel industry is operating in an increasingly challenging environment characterized by geopolitical conflicts, shifting trade flows, higher costs and relatively weak demand. According to the IREPAS chairman, the deteriorating situations in the Black Sea and Iran are having a significant impact on steel markets and international trade. Damage to ports and vessels’ reluctance to sail have made trade in the Black Sea extremely difficult, while attacks on bulk carriers and oil tankers have also created significant challenges for trade in the Middle East.

Against this backdrop, energy prices, including oil, natural gas and coal prices, have increased, in some cases significantly. Manessis noted that these increases are raising costs for steel producers, scrap suppliers and shipping companies, affecting the entire steel value chain.

At the same time, the industry is facing an increasingly restrictive global trade environment. The IREPAS chairman highlighted the EU’s Carbon Border Adjustment Mechanism (CBAM) and its safeguard measures implemented after July 1, US tariffs, scrap trade restrictions in around 40 countries worldwide and other trade measures affecting steel markets. He also pointed to China’s recent efforts to prevent its steel industry from offering products at excessively low or loss-making prices, stating that these measures already appear to be having an impact on the market.

Meanwhile, higher interest rates are putting additional pressure on consumers as authorities seek to contain inflation. Manessis stated that, apart from demand related to the expansion of artificial intelligence data centers, global demand for steel products remains relatively weak.

According to the IREPAS chairman, demand is therefore not currently determining the direction of the market, with rising costs instead becoming the key factor. As a result, steel prices are increasing in almost all markets despite weak demand. Manessis added that, although the current environment remains difficult to navigate, higher prices are allowing trade to continue and creating opportunities for market participants.

On the last day of the conference, producers of long steel products, as well as traders and raw material suppliers, shared the conclusions reached at their special committee meetings regarding the current situation in the markets with the general participants at the event.

Producers at IREPAS: Trade barriers and overcapacity are fragmenting global steel markets

Steel producers remain cautiously optimistic despite challenging international trade conditions, while energy and raw material costs are expected to continue putting pressure on mills at least through the end of the winter, according to Alex Gordienko, export director at Spain’s CELSA Group, speaking on behalf of the producers committee.

Mr. Gordienko said that regions face different challenges, with European producers particularly affected by energy-related issues. Nevertheless, producers continue to see underlying domestic demand and remain somewhat more optimistic than current market conditions might suggest.

India expected to remain focused on domestic market

Commenting on the rise in Indian steel demand and the decline in the country’s export activity, Gordienko pointed to significant infrastructure investments and rapidly growing construction demand, while India’s steel production capacity is also increasing. He said he expects India to remain primarily focused on its domestic market over the next five years.

Regarding Southeast Asian suppliers, Gordienko said they will remain competitive internationally, though increasingly selective about their target markets. Their presence is expected to remain significant in the MENA region, while access to the EU will be more difficult due to quota restrictions.

EU needs favorable investment conditions as well as trade protection

Turning to Europe, Gordienko said there is significant potential demand from housing, electricity generation, data centers and defense investments, as well as the replacement of aging infrastructure. However, bureaucratic barriers are preventing these needs from translating into actual construction and investment.

According to Gordienko, the EU has become increasingly effective at protecting its steel market, but less successful in creating economic conditions that make steel production and investment attractive. Safeguards and the Carbon Border Adjustment Mechanism (CBAM) provide some protection, but cannot compensate for issues such as insufficient or expensive energy supply.

Overcapacity and trade barriers to fragment global markets

Addressing global overcapacity, Gordienko said governments increasingly want to preserve domestic steelmaking capacity even when mills struggle to generate profits, while new capacity continues to emerge in several regions.

He said he sees no realistic global mechanism capable of effectively regulating excess capacity. As trade barriers increase, surplus steel will have access to fewer export destinations, increasing the pressure on markets that remain open. At the same time, protected markets could experience temporary shortages and price increases despite substantial global excess capacity.

Gordienko said fragmentation is also changing the traditional steel market cycle. Instead of one broadly synchronized global cycle, individual regions are increasingly likely to follow their own cycles as trade barriers, domestic policies and local market conditions gain importance.

Looking ahead to 2027, he identified fragmentation as a key issue, encompassing overcapacity, Chinese exports and growing trade barriers, with market participants increasingly needing to focus on developments in their own domestic markets.

Traders at IREPAS: Trade barriers and freight risks make steel trade more regional

F.D. Baysal, chairman and CEO of SEBA Group of Companies and chairman of the traders committee, shared the committee’s assessment of current market conditions, highlighting weakening demand, regulatory pressures and rising geopolitical risks.

Mr. Baysal stated that steel trade is becoming more regional as tariffs, freight risks and additional import requirements complicate transactions. Presenting the findings of the IREPAS traders committee, Baysal said China had reduced steel production but continued to export large volumes. He stated that export licensing and VAT-related changes had altered the composition of its exports, with a greater share of long products. Continued weakness in China’s real estate sector has left surplus production seeking overseas markets, he added.

Freight risks complicate steel trade in Middle East

Baysal described freight conditions as volatile, stating that shipping from Asia to Europe has remained relatively soft, while finding vessels for shipments to and from the Middle East has become difficult. War-risk premiums and higher bunker costs have added to the challenges faced by traders.

Regarding trade in the GCC region, Baysal said decisions can no longer be based solely on the price of steel and its shipping cost. Traders must also consider insurance, changing transit times and uncertainty over whether cargoes will arrive as planned. He stated that he expects logistics to remain a significant issue. Baysal said geopolitical freight premiums are not necessarily permanent. What has changed more durably, in his view, is the need to account for geopolitical risks in every transaction. Shipping routes, additional premiums and the working capital tied up in delayed cargoes have become part of traders’ calculations.

High interest rates weigh on US steel demand

Baysal pointed out that higher interest rates are weighing on US commercial and residential construction and on demand for steel products used in those sectors. However, infrastructure, data centers, energy projects and manufacturing investment continue to consume steel. He noted that large infrastructure and data center projects are supplied mainly by domestic mills.

Against this background, Baysal said traders favor disciplined purchasing and low inventories. Back-to-back transactions are more attractive than speculative stockholding when financing is expensive and tariffs, quotas, freight and regional market conditions can change.

Capacity-demand gap and trade measures seen as interconnected risks

Although steel remains a cyclical industry, Baysal said its underlying trade structure has changed. Capacity growth, trade barriers and geopolitical risks have fragmented the market, requiring traders to identify opportunities in individual regions rather than rely on price differences alone.

Looking ahead to 2027, he described the gap between steel capacity and demand, and the trade measures that may result from it, as interconnected risks.

Raw Material Suppliers at IREPAS: Rising costs and trade barriers put pressure on raw material flows

Jens Björkman from Stena Metal International and chairman of the raw material suppliers committee shared the committee’s assessments of current dynamics and difficulties in global raw material markets during a panel session.

Mr. Björkman stated that higher freight, energy and financing costs, together with potential restrictions on scrap exports, are putting pressure on the steelmaking raw material trade. Presenting the findings of the IREPAS raw material suppliers committee, Björkman said coking coal prices had risen by around 60 percent within a few months. He also pointed to strong raw material demand in the US during the first part of 2026 and growth in India. In Europe, in contrast, high energy costs have added to the challenges facing the industry, he stated.

Low Rhine water levels disrupt European scrap and steel movements

Björkman said the low water levels of the River Rhine, comparable to those seen in 2018, have disrupted movements of scrap and steel in Europe. Some material has remained in inventories instead of reaching its destinations, causing business to be postponed. He described European steel capacity utilization of around 65 percent as unsustainable.

Regarding coking coal, Björkman said the summer price surge was driven particularly by conditions in China and had also lifted Australian prices. Chinese demand has since eased somewhat, he said. Although he cited an increase of around six percent in Indian production this year, he does not expect it to offset weaker Chinese demand. Björkman therefore sees a slightly negative outlook for coking coal prices in the coming months and said the earlier surge may prove temporary in the short term.

Trade disruptions affect scrap purchases in India and Pakistan

Turning to import scrap markets in India and Pakistan, Björkman said disruptions to trade flows have had a substantial effect on purchasing. Buyers who previously could purchase smaller quantities with shorter lead times have had to consider larger volumes and longer delivery periods. Higher freight and financing costs make those changes more difficult, he explained. He added that demand for European material has increased.

The chairman of the raw material suppliers committee expressed concern about proposed changes affecting EU shipments of ferrous and non-ferrous material to non-OECD countries. North Africa and South Asia are significant and consistent buyers of European material, he said. In his view, restrictions could affect both their ability to purchase scrap from the EU and recycling activity within Europe.

Financing raw material trade has also become more difficult throughout the supply chain, according to Björkman. Higher interest rates, freight costs and raw material prices are encouraging companies to keep lead times short, buy according to immediate requirements and avoid accumulating large inventories.

Scrap to remain principal raw material for EAF-based producers

On the future raw material mix for electric arc furnace-based producers, Björkman said scrap will remain the principal input. HBI and DRI can supplement scrap, but he does not expect them to replace it. Their cost is a constraint in many regions, while energy availability influences where they can be produced. Björkman also questioned whether Europe could depend on supplies from the GCC given regional and political uncertainties.

Trade barriers seen as key risk for scrap market in 2027

Björkman said Europe has sufficient scrap for its own steelmakers and has opposed adding further restrictions and administrative requirements to its export trade.

Asked about the risks facing the market in 2027, he identified increasing trade barriers as a particular concern for scrap suppliers. Björkman expects trade to become more regional, with European exporters facing additional requirements.

Half of the import quotas have been allocated exclusively to free trade agreement (FTA) partners, while the remaining half will be available to all exporting countries, including FTA partners.

The regulation establishes three different quota access mechanisms depending on the exporting country’s status.

Countries receiving a country-specific quota (CSQ) may use their allocated quota immediately. Once exhausted, eligible FTA partners may continue exporting under an additional FTA Quota – CSQ, which is administered on a first-come, first-served basis.

Countries without country-specific quotas may instead access:
- “Other countries” quota: accessible for the exporting countries which are not FTA partners.
- FTA Quota – Other countries quota: accessible for the exporting countries which are FTA partners.

The countries that are able to access these three type of quotas may vary depending on the products.

The CSQ allocations for reinforcing bars are as follows:

• Türkiye : 239,66.09 mtons (59,919.02 mtons per quarter)
• Egypt : 144,367.80 mtons (36,091.95 mtons per quarter)
• Algeria : 63,761.42 mtons (15,940.36 mtons per quarter)
• Moldova : 39,719.11 mtons (9,929.78 mtons per quarter)
• China : 20,216.13 mtons (5,054.03 mtons per quarter)
• Ukraine : 67,710.16 mtons (16,927.54 mtons per quarter)
• FTA Quota – CSQ : 158,803.37 mtons (39,700.84 mtons per quarter)
• Other Countries : 63,322.34 mtons (15,830.59 mtons per quarter)
• FTA Quota – Other Countries : 38,299.23 mtons (9,574.81 mtons per quarter)
• UK (to Northern Ireland from other parts of the UK) : 8,649.90 mtons (2,162.48 mtons per quarter)

The CSQ allocations for wire rods are as follows:

• Türkiye : 244,589.00 mtons (61,147.25 mtons per quarter)
• Malaysia : 86,683.40 mtons (21,670.85 mtons per quarter)
• UK : 175,399.53 mtons (43,849.88 mtons per quarter)
• Ukraine : 189,145.02 mtons (47,286.26 mtons per quarter)
• Switzerland : 162,195.34 mtons (40,548.83 mtons per quarter)
• Viet Nam : 97,086.65 mtons (24,271.66 mtons per quarter)
• Moldova : 95,839.25 mtons (23,959.81 mtons per quarter)
• Egypt : 86,714.89 mtons (21,678.72 mtons per quarter)
• FTA Quota – CSQ : 122,881.38 mtons (30,720.34 mtons per quarter)
• Other Countries : 153,927.34 mtons (38,481.84 mtons per quarter)
• FTA Quota – Other Countries : 138,440.96 mtons (34,610.24 mtons per quarter)
• Korea : 11,334.76 mtons (2,833.69 mtons per quarter)
• Japan : 5,293.99 mtons (1,323.50 mtons per quarter)

The “melt and pour” requirement the regulation introduces will apply from October 1, 2026. The European Commission is required to adopt detailed implementing rules specifying the evidence required by August 31, 2026. By June 30, 2028, the Commission shall, based on the information collected pursuant to “melt and pour” requirement, assess whether it is necessary to designate the country of “melt and pour” as the basis for benefiting from the tariff quotas provided for in this regulation. Based on that assessment, the Commission may submit a legislative proposal to the European Parliament and to the Council.

By 30 June 2027, the Commission shall assess the necessity of amending the product scope, taking into account in particular whether it should cover additional products that are made of, or contain, a significant amount of steel, including as a matter of priority downstream iron and steel products not covered by the regulation. Where sufficient evidence is gathered in its assessment demonstrating that necessity, the Commission may without undue delay submit a legislative proposal to the European Parliament and to the Council.

By June 30, 2029 and every three years thereafter the implementation of the regulation, the Commission shall evaluate the effectiveness of this regulation, after having carried out broad consultations with stakeholders throughout the steel value chain.

The regulation sets the total annual tariff-rate quota at 18,345,922 mt, while imports within the quota will remain duty-free, while volumes exceeding the quota will be subject to a 50 percent tariff, a sharp increase compared to the previous 25 percent safeguard duty. Depending on the product category, quota volume reductions of up to 90 percent will be implemented. However, details regarding the country-specific quota allocations have not yet been announced.

According to a statement released by the Department of Finance, Canada will extend its steel tariff-rate quota regime for imports from non-CUSMA partners until June 27, 2027, while the existing horizontal tariff relief for eligible steel and aluminum products from the US, as well as for eligible steel products subject to derivative tariffs, will be extended until June 30, 2027. The Department of Finance Canada stated that the extension will provide producers and importers with greater business predictability and longer-term certainty, while helping the government defend the Canadian steel industry and its workers against the impact of trade flows driven by excess capacity and unfair market conditions.

Under the current framework, quota levels will remain based on 20 percent of 2024 import volumes for partners without a free trade agreement with Canada and 75 percent of 2024 import volumes for partners that have a free trade agreement in force with Canada, while imports exceeding the quota limits will continue to be subject to a 50 percent tariff. Canada will also continue to exempt the US and Mexico from the steel tariff-rate quotas.

Following the planned extension, the government intends to consider an allocations-based approach for the administration of quotas for certain product classes, with producers and importers expected to be invited to share their views as part of the ongoing review of the tariff-rate quota framework.

The regulation sets the total annual tariff-rate quota at 18,345,922 mt, while imports within the quota will remain duty-free, while volumes exceeding the quota will be subject to a 50 percent tariff, a sharp increase compared to the previous 25 percent safeguard duty.

This measure applies broadly to all third countries, including those with free trade agreements or preferential access, reinforcing the EU’s efforts to prevent trade diversion and protect domestic producers. However, imports originating from Norway, Iceland and Liechtenstein are excluded from the scope of the measure. The European Commission also retains the authority to expand the scope to include downstream steel products in future reviews.

The tariff-rate quotas will be administered on a quarterly basis, aiming to prevent import surges within short periods. During the first year of implementation, unused quotas will be carried over to subsequent quarters. However, the commission may later adjust this rule depending on market conditions, including import pressure and supply shortages.

The European Commission will:

• review the product scope regularly,
• assess the effectiveness of the measure every three years,
• potentially adjust quota volumes within a range of 14.4-22.2 million mt depending on market developments.

Annual volumes of tariff rate quotas for some steel products are listed below.

• Merchant Bars and Light Sections  :  881,735 mtons
• Rebars    : 844,526 mtons
• Wire Rods   : 1,569,532 mtons

In a joint statement, the European Parliament, the Council and the European Commission underlined that the EU has taken unprecedented steps since the start of the war to reduce its economic dependence on Russia and prevent its economic activity from supporting Russia’s war efforts.

However, the institutions acknowledged that some dependencies still remain, particularly for certain steel products that are not yet fully restricted. Limited volumes of Russian steel imports are therefore still permitted under transitional arrangements until September 30, 2028, with quotas that decrease annually. The EU confirmed that these measures are designed to ensure a complete phase-out of remaining Russian steel imports by the 2028 deadline.

Due the war in the Middle East, levels of uncertainty have surged in the global long steel products market. Energy prices are flying high, supply chains have been disrupted, bunker oil and freight rates are up and stocks are down. It is too early to predict the overall impact of the war. While concerns regarding deliveries of cargoes originating from regions in the East have helped push prices up in the Western markets, demand is not improving, which comes as no surprise especially when we have no clue about how long this war will continue or to what extent it might spread. Another major question is what will happen to scrap prices.

Investments to be put on hold, no panic purchases despite EU mills’ price hikes

Investments will be put on hold given the high levels of uncertainty all around. EU mills have reacted with price increases but, as the market is still waking up after the winter season, this has not resulted in panic purchases.

Imports into EU risky amid lack of regulatory clarity

Brussels’ incompetence or unwillingness to announce final CBAM regulations and how safeguard measures will be continued after June 2026 makes imports into the EU extremely risky.

Turkish mills face slow local and export demand, adjust capacity usage accordingly

In Turkey, construction activity is slow and exports are down by 20 percent compared to the same period last year. Mills are adjusting their production based on the demand they receive.

US Supreme Court gives some breathing space to importers, but new tariffs likely

The Supreme Court decision in the US against Trump’s tariffs gives a partial breather to importers. However, it will probably not be long before new tariffs will be implemented under different names.

Current market status unstable, outlook unpredictable

It is very difficult to talk about competition under the current levels of protectionism, geopolitical issues and uncertainty in the market. Under the current overall market circumstances, the current status of the market can be described as unstable with an unpredictable and unstable outlook.

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Demand remains weak in the global long steel products market, both structurally and seasonally. Buyers are cautious, operating on a hand-to-mouth basis and are still delaying medium- or long-term commitments. At the same time, supply pressure remains high. China has finally shown a significant production decline (with 2025 output down to 960 million mt, below one billion mt for the first time since 2019), but its exports surged to a record 119 million mt.

Geopolitics pull FX and commodity markets in different directions, causing uncertainty

Geopolitical tensions are clearly growing and are tearing the foreign exchange (FX) and commodity markets in different directions, increasing uncertainty for both mills and traders. This is feeding buyers’ wait-and-see stance on the demand side, while keeping input costs – especially scrap – more supported than finished steel products.

Demand still weak in EU, imports slowed down a lot by CBAM uncertainties

Demand in the EU market is still weak. Not only seasonal conditions but also uncertainties regarding political decisions are holding buyers back from making bigger commitments. Despite solid order books, construction companies are not flooding the market to avoid increases. The absolute uncertainty about quotas, CBAM, etc., has slowed down import volumes a lot. Only a few quotas were used up completely on January 1, which is proof of the fears of importers and traders.

US commercial construction expectations weaken for 2026

In the US, commercial construction expectations are down this year, with five of 17 market segments showing negative outlooks. Data centers (57 percent net positive) and power projects (34 percent net positive) remain strong. Although 63 percent of firms are planning new hires in 2026, over 80 percent are struggling to find qualified workers. Tariffs have affected 70 percent of contractors, and 63 percent report project delays or cancellations due to funding issues and rising costs. Top concerns for 2026 include the economic slowdown, workforce shortages, rising labor costs and material price volatility due to imports.

US residential construction segment also shows weakening, US mills in strong position

Residential construction in the US is not any better. Multi-family housing starts dropped 25.9 percent in October last year compared to September and were down 10.8 percent year on year, falling to their lowest level since 2020, according to the US Census Bureau and the Department of Housing and Urban Development. Overall, housing starts in the US in October fell 4.6 percent from September and 7.8 percent from October 2024. Developers face challenges ranging from high inventory to high interest rates. Imports face tough competition with domestic products having a 50 percent duty advantage and with antidumping and countervailing duties on most commodities. Domestic mills are in the best position with high prices and practically no competition.

Seasonal supply tightness boosts scrap market, thereby providing support for longs market

The ferrous scrap market is strong mainly due to the seasonal supply tightness and provides some support for the long steel products market.

Competition at high levels but is not on a level playing field due to trade protectionism

There is high competition in the market. That said, with all the trade measures and tariffs, there is no fair competition anymore. It is just about searching for opportunities.

Market outlook slightly better but remains tough, some cautious optimism for 2026

Under these circumstances, the current status of the market can be described as unstable. The outlook is slightly better due to seasonal reasons but remains tough. Despite all this and everchanging trade restrictions, we are still cautiously optimistic for 2026.

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The same pattern continues to prevail in the global long steel products market – weak demand, new capacities and mills running below where they should be. The global picture has narrowed: demand is flat and partly seasonal, supply keeps increasing and the supply-demand balance looks worse every week. The main issue is not really demand or supply, it is about who can still move material. The tonnages are there but trading opportunities have shrunk and competition is relentless. China keeps exporting because it must and, with most traditional markets closing behind protective barriers, exporters are fighting over the same limited opportunities for open trade.

Mills lack profitability, buyers lack interest, system lacks oxygen

Prices appear stable, but confidence seems to be absent. Mills remain busy, but lack profitability, while buyers hold stocks, but have no appetite to buy more. The system still functions, but with less and less oxygen.

Uncertainty still predominates, 2026 foreseen to be difficult for exporters

Uncertainty is still the prevailing tone in the market. The recent China-US talks were not as positive as the leaders described, similar to the situation regarding China’s five-year plan. It seems that China will continue to flood the market with 10 million tonnes every month. On the other hand, due to the 50 percent Section 232 tariffs, US imports will be reduced by 10 million tonnes annually and the new safeguard system in the EU will take approximately another 20 million tonnes of demand from the import market. This means import demand will be down approximately 30 million tonnes annually. With total Chinese exports increasing by around 60 million tonnes, next year will be very difficult for exporting countries.

Longs imports into EU almost at standstill, regional prices foreseen to increase by Q1

In the EU, the uncertainties about CBAM, reduced quotas and higher duties have led to an almost 100 percent standstill in imports of long steel products into the EU market.  As the shipments ordered a month ago are now entering the market, the impact on domestic mills’ price increases is still not visible. The seasonal demand trend will not provide any help either to bring prices up. However, it is expected that the prices of EU domestic producers will increase significantly in the first quarter of 2026 at the latest due to the absence of import alternatives.

New capacities in US increase pressure on prices

US long product demand remains flat and below 2024 levels, while domestic supply has expanded with new mill capacities, adding pressure on prices. Imports are minimal due to the 50 percent Section 232 duty, compounded by the AD/CVD tariffs on traditional suppliers.

Extended US government shutdown hits confidence levels in domestic market

The 0.25 percent interest rate cut in the US has done little to revive construction activity, and even a further reduction of a similar scale expected in December would not significantly shift market sentiment. The ongoing US government shutdown – now exceeding 30 days – has further weakened confidence, delaying infrastructure spending and procurement. Overall, the US market remains oversupplied and cautious, with limited visibility for an improvement into early 2026.

Few positives entering the holiday season, protectionism here to stay for now

We are entering the holiday season up to mid-February and so market activity will be slower than usual in the northern hemisphere. It is very tough to point to real positives in the market, but at least we know where we stand now. Protectionism is not just a temporary phase, it is the current framework market players have to operate in. This at least brings a certain level of stability: there are fewer unexpected twists and there is somewhat greater predictability in the market.

At least no escalation in US-China trade tensions, future interest rate cuts may help

Another positive development is that the trade war between the US and China has not escalated. Further interest cuts in 2026 will certainly help, if they happen.

Current market status unstable, with unsatisfactory outlook

Under these circumstances, the current status of the market can be described as unstable with a tough, slow and unsatisfactory outlook.

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Accordingly, the new system maintains the principle of open trade and strengthens engagement with global partners to tackle overcapacity, by

1. limiting tariff-free import volumes to 18.3 million mt a year (a reduction of 47 percent compared to the 2024 steel quotas),
2. doubling the level of out-of-quota duty to 50 percent, compared to the 25 percent under the safeguard, and
3. strengthening the traceability of steel markets by introducing a “Melt and Pour” requirement to prevent circumvention.

The quota volumes of various long steel products can be seen in the table below.

• Merchant Bars and Light Sections    881,735 metric tons
• Reinforcing bars    844,526 metric tons
• Wire Rods    1,569,532 metric tons

Under the new regulation, the EU will maintain free-of-duty tariff quotas equivalent to pre-overcapacity market conditions – calculated based on the 2013 import share of around 13 percent of EU consumption, resulting in an annual total quota volume of 18.3 million mt. The EU’s import volume will decrease as a result of the decline in the quota volume. The quotas will be administered on a quarterly basis, without carry-over between quarters, to avoid market flooding. The quotas will also be allocated per product category based on the share of imports that each product category held over the 2022-24 period. If deemed necessary, the European Commission may implement country-specific quotas or restrictions. Once these quotas are exhausted, a 50 percent tariff will apply, up from the current 25 percent, in line with global tariff levels with an aim to minimize the risk of trade diversion.

The measures will require importers to declare the country of “melt and pour” origin, verifying where the steel was originally produced in liquid form to prevent circumvention.

The Commission will make an assessment at the latest within two years following the adoption of this regulation to evaluate the necessity to adjust the scope of products and, if deemed necessary, it will consider making a legislative proposal to add additional steel products, including products that are made of or contain a significant amount of steel. In addition, the Commission shall evaluate the effectiveness of this regulation before July 1, 2031, and every five years thereafter.