In conditions of a huge crisis, the presidents of the largest companies demand protection. “We urge politicians to take urgent measures to help our industry overcome the negative consequences of the introduction of import tariffs by Russia in 2018,” the open letter says.
The letter was signed by the leaders of the largest companies in the industry: Aditya Mittal - President of ArcelorMittal Europe, Francesc Rubiralta Rubio - President of Celsa Group, Roland Baan - President of Outokumpu, Heinz Jörg Furmann - President of Salzgitter, Hans Fischer - President of Tata Steel Europe.
In the steel industry, there is a global overcapacity, and excess production goes to the European Union market. Imports of metal products have more than doubled since 2013, reaching almost 30 million tons. Meanwhile, the demand for steel in the EU has increased slightly since 2013, and in 2019 it is expected to decrease.
EU economic indicators are declining. Prices for raw materials and energy are high and unstable. CO2 emission quota prices have increased dramatically and are now almost five times higher than in early 2018. CO2 costs are borne by steel producers from the EU, and not by manufacturers from other countries who send their steel to the EU.
The European steel industry is in crisis due to these external factors, and as a strategic sector it is the basis of many economies.
Therefore, signatories call on EU member states, the European Parliament and the European Commission to work on stopping imports, which are undermining the EU market. In their opinion, it is necessary to take urgent measures to strengthen the protection of the EU steel industry from July 1, 2019.
