Global Daily Tax News, EU To Double Taxes On Imported Steel, (Oct 9, 2025)

The European Union has announced a considerable reduction in tariff-free import quotas and a doubling of taxes on imported steel, to protect the EU's steel sector.

The Commission has announced tariff-free import volumes will be reduced to 18.3 million tonnes a year, down 47 percent compared to 2024 steel quotas. Beyond these quota limits, the duty rate will increase to 50 percent, up from 25 percent.

Further, measures will be introduced to strengthen the traceability of steel imports, to prevent circumvention of duties.

The proposal will replace the steel safeguard measure that is set to expire by June 2026 and will require approval from the European Parliament and the Council.

The Commission has said the proposed measure is fully WTO compliant, stating: "Upon receipt of a mandate from the Council, the Commission will swiftly engage with affected EU trading partners under the Article XXVIII GATT procedure regarding this change to the EU's WTO tariffs, with a view to offering them country specific allocations."

Exports from Norway, Iceland, and Liechtenstein will not be subject to tariff quotas or duties. Further, Ukraine will receive preferential quota allocations, the Commission has proposed, owing to the nation being a candidate country facing an exceptional and immediate security situation.