SMR Stainless: EURANIMI urges Europe to wake up and protect finished goods too

The European debate over the future of steel safeguards has intensified, as industry groups warn that Brussels risks prioritizing the protection of steelmakers at the expense of broader manufacturing shares SMR Stainless Club.

The newly proposed Steel Import Measure entails cutting import quotas by over a half for stainless steel and doubling out-of-quota tariffs to 50% once the limits are reached. Combined with the incoming Carbon Border Adjustment Mechanism (CBAM) from January 2026, the package could trigger a severe cost shock, according to steel distributors.

EURANIMI, representing independent metal distributors, argues that the plan will create “a perfect storm” for Europe’s
downstream industries. The association warns that the EC has ignored the combined impact of the CBAM and the new quotas.
The result would be record-high costs, shortages, and “a tsunami for the European manufacturing industry.”

The association urges to recall of how quickly shortages emerged during COVID-19 recovery. They fear that halving import
quotas will once again leave many companies unable to source basic raw materials. Even before the regulation takes effect,
steel prices are already edging higher. Small and medium-sized enterprises that cannot hedge or stockpile large quantities of
steel will be the most affected.

Besides, EURANIMI accuses Brussels of “rolling out the red carpet” for imports of finished goods made from cheaper, CO2-
intensive steel outside the EU, which remain untaxed. While the EU seeks to secure its upstream steel production, the
downstream chain, including machinery, vehicles, appliances, and fabricated components, may collapse under the weight of
higher input costs and weaker global competitiveness.

Christophe Lagrange (Executive Board Member of EURANIMI) urges lawmakers to correct the imbalance: “Europe needs to
rethink its protection strategy and consider the entire steel value chain, not just the mills. Otherwise, we will soon be producing steel for a manufacturing industry that is a shadow of its former self.”

Fellow board member Rob Greve echoes this warning, stating that protecting EU steel production is legitimate, but not at the
expense of the manufacturing industry. A strong steel industry exists only by virtue of a strong European market.

EURANIMI’s main demand is the introduction of a “mirror mechanism” to extend protection to finished goods. Once a
reasonable import threshold is exceeded, the association proposes a 50% duty calculated based on the steel content of
imported products that contain at least 20% steel. It says that the duty would have a minimal effect on consumer prices,
resulting in. a “barely 1-2% on a EUR 500 washing machine” but would restore balance between domestic and imported
production.

Earlier, EU major stainless steel distributor Damstahl warned that the stainless steel market should prepare for permanently
higher prices, longer delivery times, and less flexibility once the new system is implemented.

—

SMR Stainless Club
English
30 October 2025