Brazil's foreign and trade ministries have issued a joint statement criticizing the EU's new steel tariff-rate quota system as unilateral protectionism that could intensify global steel trade tensions. The government stated the new measures may limit Brazil's access to an important long-term export market while failing to address global steel overcapacity, emphasizing the issue should be handled through international and multilateral cooperation. Brazil had previously requested GATT Article XXVIII compensation for potential trade losses from the new system, but the two sides failed to reach an agreement.

In yesterday's [SMM Analysis] EU Steel Tariff Wall Doubles to 50%: Reconstructing the New Quota System & In-Depth Analysis of 1A HRC, SMM deeply analyzed the brutal allocation logic of the EU's new 18.35 million tonnes quota. When the "50% tariff wall" and the "melting and pouring" rules completely block traditional tax-free export paths, the global steel supply chain is undergoing a forced reshuffle. Today, we shift our perspective to the ripple effects and macro-level forecasts of this storm.

On 1 July 2026, the EU replaced the steel safeguard measures implemented since 2018 with a significantly stricter import quota system—this is not merely a continuation of the old policy, but a complete reconstruction of its underlying logic: the core objective has upgraded from "preventing trade diversion" to "targeted defense against high carbon and excess capacity."

[SMM Steel] Australia's Anti-Dumping Commission has launched an anti-dumping investigation into imports of zinc-coated (galvanized) steel from South Korea and Vietnam following a complaint filed by domestic producer BlueScope Steel. The investigation covers imports during January-December 2025, with allegations that the products were sold below normal value and caused material injury to Australia's domestic steel industry. The case adds to the growing number of trade remedy measures affecting global steel trade flows.

The core logic of the South American steel market is that end-user demand drives everything. Consumption demand is the starting point, filled jointly by local production and imports; imports act as a regulating valve rather than a driving force.

In March 2026, the global steel market experienced a fierce geopolitical "sudden chill." According to the latest data from WSA, global crude steel production in March fell by 4.2% year-on-year to 159.9 million tons. The US-Iran conflict that erupted on Feb 28, and the subsequent blockade of the Strait of Hormuz, have completely disrupted the spring recovery rhythm of the global steel supply chain, with the shadow of energy crises and logistical interruptions rapidly spreading worldwide.