Italy's metallurgical and steel association, Assofermet, has issued a stark warning regarding the severe impact of the European Union's upcoming trade defense mechanisms on downstream processors and distributors. With the current steel safeguard regime set to expire on July 1, 2026, new provisions will introduce a strict annual duty-free quota of approximately 18.3 million metric tons (mt) for steel imports, and any volumes exceeding this cap will face a punitive 50% duty. Coupled with the mandatory origin tracing for steel melting and pouring, and the full implementation of the Carbon Border Adjustment Mechanism (CBAM) since January 1, 2026, these policies disproportionately favor upstream producers. Assofermet argues that this unbalanced protection will trigger surging raw material costs and reduced sourcing options for the downstream supply chain, which could ultimately suppress overall European steel demand and erode the continent's manufacturing competitiveness on the global stage.

The European Commission has escalated its stainless steel trade dispute with Turkish exporter Çolakoğlu Metalurji to the Court of Justice of the European Union. The case concerns EU anti-circumvention measures on stainless steel sheets and coils originating in Indonesia but shipped from Turkey, and the Commission is seeking to overturn parts of an earlier ruling that favored the Turkish exporter.

In May 2026, the European Union adopted a series of restrictive measures against China in the new energy sector, several of which are directly related to the photovoltaic and energy storage supply chains. In this situation, how will the European's solar market goes...?

On April 27, 2026, the European Union finalized the details of a new steel protection regulation scheduled to take effect on July 1, 2026, replacing the previous safeguard measures. The new regulation sets a total annual tariff-rate quota of approximately 18.35 million metric tonnes. Crucially, imports exceeding these quotas will now face a 50% punitive tariff (up from the previous 25% safeguard duty), reflecting a significantly more aggressive stance against global overcapacity. The EU also reaffirmed its commitment to fully phase out remaining Russian steel imports, particularly slabs, by September 30, 2028.

Domestic consumption of steel products in Ukraine increased by 3.4% year-on-year in the first quarter of 2026, driven by continuous reconstruction efforts. During this period, Ukrainian enterprises produced a total of 1.34 million tons of rolled steel, out of which 820,000 tons were directed to export markets primarily in the European Union. Approximately 521,000 tons of rolled products and semi-finished steel were absorbed by the domestic market.

[SMM Steel] The European Union is considering raising out-of-quota steel tariffs to 50% while cutting duty-free quotas to 18.3 million mt, with potential implementation from July 1, 2026. In the short term, this may reduce export volumes and increase costs for Vietnamese shipments, as the EU accounts for over 20% of Vietnam’s steel exports (~$1.4 billion in 2025). The tighter regime is likely to weaken competitiveness and force exporters to redirect cargoes to other markets.

[SMM Steel] The European Union is finalizing a plan to double out-of-quota tariffs to 50% and cut duty-free quotas by 47% to 18.3 million mt, with potential implementation from July 1, 2026. All trading partners will be subject to quotas, while debate continues over whether unused quotas can be rolled over. In the short term, stricter quotas and higher tariffs are likely to limit import volumes and support EU domestic prices.

Jastrzebska Spolka Weglowa (JSW SA), the European Union’s largest coking coal producer, has reduced its production forecast for 2026 to approximately 13.3 million tonnes, down from a prior estimate of 13.5 million tonnes. The revision stems from a methane and rock outburst incident at the KWK Pniowek mine, which led to a suspension of activities and a delay in key longwall operations from May to November 2026. This reduction in local European supply places additional pressure on regional steelmakers to source more expensive metallurgical coal from Australia and North America.

Australia and the European Union officially signed a new trade agreement on March 24, 2026, focused on securing supply chains for critical minerals and high-grade iron ore. This deal follows eight years of negotiations and is intended to diversify the EU's raw material sourcing away from China. The agreement provides European steelmakers with preferential access to Australian magnetite and high-purity hematite, while fostering joint investment in processing facilities that meet strict environmental and social governance standards required for the upcoming EU "green steel" mandates.

[SMM Morning Meeting Summary: Dovish Remarks by the US Fed Drove Zinc Prices Higher] Overnight, LME zinc recorded a bullish candlestick, with the 20-day daily average above acting as resistance. Overnight, dovish remarks by the US Fed boosted market sentiment, while LME Cash-3M shifted to a backwardation structure......