Trade Cases
US, EU Affirm Intent to Reach Steel, Aluminum CO2 Deal by October
June 1, 2023
The US and EU affirmed their intention to reach a common framework on carbon emissions in steel and aluminum by October at the Trade and Technology Council (TTC) meeting in Luleå, Sweden, on Wednesday.
At the meeting the EU and US said that via the Transatlantic Initiative for Sustainable Trade they are “strengthening engagement towards a transatlantic green marketplace.”
“The ongoing work on a Global Sustainable Arrangement for Steel and Aluminum shows our resolve to rise to this challenge with a view to achieve an ambitious outcome by October 2023,” the US and EU said in a joint statement released by the Commerce Department.
Recall that in late 2021 the US and EU agreed to scale back Section 232 tariffs on EU steel and aluminum imports into the US. They also agreed to begin a negotiation that would lead to an agreement on joint action to reduce CO2 emissions and overcapacity in steel and aluminum. If a deal is not reached by October, US tariffs on steel and aluminum from Europe could be resumed.
Some other issues discussed at the TTC included the ongoing war in Ukraine, climate change, and artificial intelligence.
The fourth ministerial meeting of the TTC was co-chaired by European Commission (EC) EVP Margrethe Vestager, EC EVP Valdis Dombrovskis, US Secretary of State Antony Blinken, US Secretary of Commerce Gina Raimondo, and US Trade Representative Katherine Tai. They were joined by European Commissioner Thierry Breton.
By Ethan Bernard, ethan@steelmarketupdate.com
Latest in Trade Cases
Leibowitz on trade: Where is the voice of the consumer?
The election campaign is white-hot right now, and the Biden administration is touting its protectionist message. Just this past week, the Office of the US Trade Representative (USTR) touted this message. In a release entitled “What They are Saying,” USTR quoted many of the usual protectionist groups praising government action against Chinese steel exports and shipbuilding. Consuming industries in the United States, which employ many times the American workers as the industries seeking trade protection, were not mentioned.
Price: Why have steel emissions policies forgotten about recycling?
Steelmaking currently accounts for approximately 8% of global greenhouse gas emissions. The only way to achieve net zero goals is to significantly reduce steel emissions worldwide. And there is no way to do that without recycling.
USTR targets China in new 301 probe; Biden calls for higher tariffs
The Biden administration on Wednesday announced measures to support the domestic steel industry.
Price: New trade rules will help domestic industries fight “unfair” trade
The Department of Commerce (DOC) has issued new rules to combat evolving "unfair" trade practice — including the unfair trade of steel products. They go into effect on Wednesday, April 24.
CRU: Mexico to toughen controls on steel imports
To ease trade tensions with the United States, the economy ministry in Mexico is preparing measures to strengthen definitions on steel being shipped into the country. Mexico has faced accusations it is being used as a route for steel and aluminum produced in Asia to be sent on to the US, so-called triangulation.