France and ten other European Union member states have called on Brussels to introduce new measures to protect the steel industry, as negotiations continue over export quotas allowed into the U.S. market.
In a document published on Monday, the eleven countries — including Spain and Poland — stated that the European Commission should consider imposing a 50% tariff on steel imports that exceed a specific duty-free quota.
The countries recommended that this duty-free quota be reduced by 40% to 50% from current levels, in an effort to shield European producers from unfair competition posed by cheaper imports.
These demands come amid an ongoing trade agreement between the EU and the United States, which includes a provision for a 50% tariff on European steel exports that exceed a yet-to-be-agreed-upon threshold.
Nevertheless, EU Trade Commissioner Maroš Šefčovič said both sides had agreed to cooperate in finding solutions to address global steel overcapacity.