BRATISLAVA – Slovakia’s US Steel Košice is sounding the alarm as cheap imports and weak demand force it to operate at just two-thirds capacity, warning that without stronger EU safeguards, Europe’s steel industry risks permanent collapse.
“The low prices and high import levels make production uneconomical. This is not sustainable,” Michal Pintér, US Steel Košice’s Director of Governmental, EU Affairs & REACH, said at the plant. “We are in a state of emergency. If we don’t act now, we risk losing a strategic sector permanently,” he added.
US Steel’s warnings come as the European Commission consults on redesigning safeguard measures, which currently expire on 30 June 2026. The Commission plans to present new proposals in the third quarter of 2025.
EU steel output has declined from 160 million tonnes in 2018 to 130 million tonnes in 2024.
Without stronger safeguards, production could plummet to as low as 10 million tonnes by 2050, covering 5-10% of Europe’s steel demand, warns Europe’s steel association, EUROFER.
As a solution to the decline, Pintér also called for a new, flexible safeguard system.
“We need a tool that reacts quickly to changing market conditions and applies fairly to all countries, including those with free trade agreements. Tariff rate quotas should reduce imports to historical levels, with tariffs up to 50% above quotas, similar to recent US measures,” he said at the plant.
(de)