The European Commission plans to impose a 25% to 50% duties on Chinese steel and related products in the coming weeks, according to the German financial newspaper Handelsblatt, who cites senior officials in Brussels.

The Chinese Ministry of Commerce did not respond immediately to a request for a comment on potential duties. The European Commission did not comment on Handelsblatt’s publication

European Commission President Ursula von der Layen said earlier this month that it would propose a new method to limit steel imports, as global surplus production capacity is pressure on profit margins and makes it difficult to invest in European steel investment.

He added that the Commission would propose a new, long -term commercial means of replacing the expiring steel protection measures. According to the rules of world trade, the Union cannot extend existing protection measures beyond the average of 2026, Reuters notes.

Meanwhile, China steel exports are expected to increase between 4% and 9% and reach a historic high of about 115 million to 120 million metrics, according to analysts’ forecasts.

China exported about 4%, or 368,000 tonnes of its steel exports in 2024 to the EU, according to the Chinese Iron and Steel Association.
Analysts said the impact on EU duties on levels reported by Handelsblatt on the Chinese steel industry would probably be minimal, given the relatively small volume.

Above half of the world steel is produced by China, which needs new markets, as the prolonged recession in the real estate sector has slowed consumption in the domestic market.

According to China Trade Remedies Information, about 54 duties and other trade barriers have been imposed on Chinese steel by 2024, while analysts estimate that export increases will lead to further restrictions.

European steel producers are also facing 50% import duties from the US.