European industry associations are warning of significant competitive disadvantages as a result of the planned new EU steel protection measures. In a joint statement, representatives of steel processing industries criticise the fact that the European Commission's proposals could have a particularly negative impact on the metal packaging industry as an important buyer of high-quality steel products.
The signatory associations fundamentally support the European Union's goal of addressing global steel overcapacity and creating fair competitive conditions for the European steel industry. At the same time, they see the current form of the planned measures as a clear overregulation that would make access to steel considerably more difficult for processing industries - including manufacturers of metal packaging.
Rising steel prices with direct consequences for metal packaging
According to the associations, the planned import restrictions and higher additional tariffs will lead to noticeable cost increases along the entire value chain. The European Commission itself anticipates an average increase in steel prices in the EU, which could be significantly higher in individual product segments. For the metal packaging industry, which relies on thin-walled, specialised and consistently high-quality steel grades, this would increase both production costs and competitive price pressure.
As metal packaging is subject to intense international competition in many areas of application - such as food, beverages and chemical products - rising steel prices could noticeably weaken the competitiveness of European manufacturers.
Administrative hurdles and limited availability of raw materials
The associations are particularly critical of the planned introduction of the so-called „melt and pour“ rule. This would significantly increase the administrative burden for steel users, as detailed proof of origin would be required. For the metal packaging industry, which often processes large quantities of standardised primary materials with tight tolerances, the associations believe that such a regulation would be difficult to implement and would involve additional bureaucratic effort.
The signatories also warn that access to specialised steel grades could be restricted. Such grades are essential for sophisticated packaging solutions, but are not always produced in sufficient quantities within Europe.
Appeal for more balanced regulation
The associations point out that the planned steel protection measures, together with other regulatory instruments such as the CO₂ border adjustment system and the gradual abolition of free emission allowances, will create a cumulative cost burden. This would affect the metal packaging industry just as much as other steel processing sectors.
Against this backdrop, the associations are calling for a more balanced design of the measures that takes into account both the interests of steel producers and the needs of steel processing industries. They are also in favour of exempting close trading partners of the EU that do not contribute to global overcapacity from the regulations.
Source: Metal Packaging Europe
