By Kunle SHONUGA
The European Commission on Friday pressed ahead with protective steel tariffs aimed at shielding European manufacturers against a surge in imports from around the world, due in part to metals tariffs imposed by the United States.
According to the findings of a commission investigation, in 2018, President Donald Trump imposed 25-per-cent tariffs on steel imports, a move that has seen global manufacturers divert goods to the European market instead.
“The EU’s steel manufacturing industry, which is still reeling from a global glut that brought down prices, has been faced with an increase in imports in recent years, a situation that has been aggravated by the U.S. decision to raise tariffs,’’ the commission found.
Following Trump’s decision, the EU imposed provisional 25-per-cent tariffs on 23 categories of steel products in July, to be applied across the board once overall imports exceed the average of the previous three years.
The commission has now proposed extending these measures for three years, until mid-July 2021.
On Friday it notified the World Trade Organisation of the move, which still requires the backing of EU member states.
While aimed at protecting Europe’s steel industry, the measures have angered other sectors, notably car manufacturers who fear steel price hikes.
According to a statement, the commission and the EU’s executive made some small changes to the provisional measures, so as to preserve traditional trade flows.
“This includes setting individual tariff-free quotas for the main importing nations, based on their own historical imports,’’ it noted.
