Steel industry: The European Commission takes measures to preserve jobs and sustainable growth in Europe

European Commission – Press release

Brussels, 16 March 2016

The Commission proposes measures to support the European steel sector in order to overcome the challenges to which it is subject. Mostly being caused by excess capacities worldwide.

A joint effort is needed to overcome these serious challenges. Being fueled by global overcapacity. Also, a dramatic increase in exports and an unprecedented wave of unfair trade practices. High energy costs and changing market conditions require large energy-consuming industries to adapt. And to innovate to ensure long-term competitiveness and sustainability.

The European Commission – takes measures to support the steel industry – Press release

The European Commission is already acting decisively to support the steel industry in overcoming short-term challenges and is announcing new short-term measures that will strengthen the EU’s defense against unfair trade practices, as well as long-term action to guarantee the competitiveness and sustainability of large industries energy-consuming, such as the steel industry:

Defense against unfair commercial practices:

The Commission is already imposing a record number of measures to offset the negative effect of dumping. Having 37 anti-dumping and anti-subsidy measures in force regarding steel products (of which 16 on steel imports from China). Also, the Commission will further accelerate the adoption of anti-dumping measures. And it is prepared to make additional proposals to speed up the general procedure and to improve the efficiency of the current system. A system of prior supervision regarding steel products is to be proposed.

Prior surveillance measures are part of the safeguarding instrument in force of the EU. And they can be introduced when import trends threaten to cause harm to producers in the European Union.

Addressing the causes of global overcapacity:

In addition to measures aimed at addressing global overcapacity. The Commission is addressing the root causes of the problem at bilateral and multilateral levels. This is done with the EU’s main partners (China, Japan, India, Russia, Turkey and the United States of America), as well as in the relevant international forums, such as the OECD and the WTO. Just last week, bilateral meetings took place with China and Japan. The Commission will further strengthen this international activity, especially in the context of the G20.

Investing in future solutions and technologies for a more competitive industry:

The long-term competitiveness of large energy-consuming industries depends on their ability to develop innovative technologies in areas such as energy efficiency or carbon capture and use. This requires more public and private investments in innovation, research and new technologies. At EU level, various funds are available to support the steel industry on its path to modernisation. These funds include the €315 billion European Fund for Strategic Investments, EU structural funds, investment funds and the EU research funding program Horizon 2020.

Modernization of the steel industry through investments in people:

Maintaining a modern and competitive steel industry requires a qualified and well-trained workforce. With the upcoming „New competences” agenda, the Commission will aim to build a common commitment to invest in people and their skills, in close cooperation with member states and social partners. The European Globalization Adjustment Fund and the European Social Fund are available to support workers and local communities.

Focused policies in areas such as competition, energy and the circular economy will help the steel industry to thrive: Our revised State aid rules provide ample opportunities for Member States to support renewable energy systems, cross-border technology, research and innovation. The proposed review of the emissions trading system, currently being discussed by the co-legislators, should be helpful for the steel sector and ensure that it obtains an adequate level of support in the context of the distribution of emission quotas. The Commission’s policy in the field of climate change and the circular economy are also relevant in this context.

Article source: http://europa.eu/rapid/press-release_IP-16-804_en.htm