No sigh of relief for the EU metals industry in US tariffs

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The EU is one of the few trade partners with the US that have secured a – comparatively low – tariff rate on imports – at a baseline of 15%. 

But one industry—the European metals industry—is still anxiously awaiting progress in talks. And that’s because it is still taxed at 50%. 

The Europeans are hoping for a quota system that would allow steel and aluminium exports to the US without excessive tariffs. 

The EU steel industry has already lost around 1 million tons of steel exports to the US since the start of US Section 232 in 2018, when exports were subject to a 25% tariff.  

A 50% tariff would likely eliminate those exports as well, European steel association Eurofer said.

However, EU exporters are also still concerned about the 15% tariff on so-called indirect exports, such as cars. 

All of this is expected to pressure prices of aluminum and steel after an already subdued first half of 2025.

So while other industries are somewhat relieved to have a baseline rate, the European metals industry is still sitting on the edge of its seat.