Overview
- After a steel summit in Berlin, Chancellor Friedrich Merz called the industry an existentially threatened sector and said there was broad agreement to push measures at EU level.
- The government endorsed the European Commission plan to cap duty‑free steel imports at 18.3 million tonnes annually and apply a 50% tariff above that, with final approval still pending in Brussels.
- Berlin aims to introduce a subsidised industrial electricity price from 1 January 2026 for three years, subject to EU sign‑off, and wants it to work in tandem with extended power cost compensation.
- Merz and Finance Minister Lars Klingbeil backed preferential use of European steel in publicly funded infrastructure and pressed for ending remaining Russian slab imports under EU sanctions.
- Industry and unions blame Chinese overcapacity, redirected flows from US tariffs, and high energy costs for the slump, warning of heavy job risks and studies estimating potential losses up to €50 billion a year.