German steel giant Thysenkrupp wants to cut 11,000 jobs. The European metals industry is in danger. US tariffs, exorbitant energy prices, global overpower, competition from cheap steel from China… The European Commission is trying to save what could be saved by the “Steel Action Plan.”
The European Commission calls its strategy for industry competitiveness and decarbonisation “clean industry transactions.” Too much steel is produced all over the world. And now, the new US government is also threatening tariffs. 25% for all steel and aluminum imports. As a result, there is a risk that international trade flows will be diverted from the US towards the internal European market.
Foreign suppliers are trying to conquer the EU market by dumping prices. New protective equipment will be introduced in 2026 to prevent unfairly generated cheap steel from breaking the necks of European steel manufacturers: CBAM, the EU’s carbon border adjustment mechanism. Non-European manufacturers of cement, aluminum, iron and steel must pay CO2 tax on goods that are produced unbearably at the EU border.
The EU wants to mobilize 100 billion euros of investment to make European industries worthy of a sustainable future. There are many problems, especially in the European Industrial Foundation.
Germany hopes to become climate neutral by 2045. This is only possible if steel is no longer produced from electricity or hydrogen rather than coal. The EU Commission is helping to switch. German steel giant Thysenkrupp is also committed to the “green steel” goals.
Foremansati takes me to the blast furnace: temperature of red hot steel soup: about 1500 degrees Celsius! – President Trump is raising hell alongside the makers. With a 25% tariff, steel manufacturers around the world are sweating. Thyssenkrupp sells small steel in the US. However, if third countries from Asia, Africa and the Middle East are unable to sell steel in the US, Europe faces a threat of steel overload.
Thyssenkrupp spokesman Mark Stagge: “First and foremost, we must protect ourselves from unfair import practices. We have an excess capacity of 550 million tonnes each year. Effective CO2 border adjustments are required.
IGM union members established a meeting in front of Gate 1 of Duisburg Steelworks. Erolkücükarslan at Shop Steward: “Our executive committee must get the idea of cutting 11,000 jobs out of their heads. And what I want to tell Europe: “Green Steel” produced using renewable energy should be promoted more quickly. ”
Erol warns of deindustrialization: “If we lose industry now, after mining, it will be a disaster for Germany and Europe.” Therefore, the EU Commission’s steel action plan is strict. Protective tariffs and quantity limits for steel dumping!
At the German Institute of Economics, we meet Galina Kolev Skaefer, a professor at the University of Applied Sciences in Cologne and an expert in international trade policy. “Therefore, the European Commission has put in place a border adjustment mechanism. From next year, we will be paying CO2 emissions from steel imports.”
It takes a lot of energy to produce “green steel.” Where should you come from? Kolev-Schaefer: “To achieve this, we need to expand renewable energy and expand our power grid to Southern Europe!”
And our tariff issues? “This is hitting the European steel industry hard,” says Kolev-Schaefer. “Not only does the US account for about 20% of European steel industry exports, but US tariffs are causing the European market to be flooded with steel from third countries.”
