ANNOUNCEMENT 26 Mar 2018

In March 2018, the European Commission initiated a safeguard investigation on imports of certain steel products. In July 2018, a provisional safeguard duty was imposed. In February 2019, a definitive duty was imposed. 

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

Official Journal of the European Union, Case No. Safe009: Notice No. 2018/C 111/10, 26 March 2018: http://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52018XC0326(02)&from=EN
Official Journal of the European Union, Case No. Safe009: Notice No. 2018/C 225/07, 28 June 2018: https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=OJ:JOC_2018_225_R_0007&from=EN
Official Journal of the European Union, Case No. Safe009: Commission Implementing Regulation (EU) 2018/1013 of 17 July 2018, published on 18 July 2018: https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32018R1013&from=EN
Official Journal of the European Union, Case No. Safe009: Commission Implementing Regulation (EU) 2019/159 of 31 January 2019, published on 1 February 2019: https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32019R0159&from=EN
Official Journal of the European Union, Case No. Safe009: notice No. 2019/C 169/08, published on 17 May 2019: https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=OJ:JOC_2019_169_R_0008&from=EN

Inception date: 19 Jul 2018 | Removal date: open ended
Still in force

Safeguard

The safeguard investigation on imports of certain steel products was initiated on 26 March 2017. The Commission noted that "The investigation will examine the situation of the products concerned, including the situation of each of the product categories individually, also based on the most recent developments, such as any trade diversion resulting from the US measures."

The investigation follows the EU Commission´s determination that "... there is sufficient evidence to justify the initiation of an investigation".

On 28 June 2018, the European Commission issued a notice amending the products' HS code subheadings concerning product category number 1, 4 and 7. For product category 1, non-alloy and other alloy hot-rolled sheets and strips, HS codes 7208 52 10, 7208 53 10 and 7211 13 00 are included in the product classification. For product category 4, metallic coated sheets, HS code 7225 99 00 is included in the product classification. For product category 7, non-alloy and other alloy quarto plates, HS code 7225 99 00 was removed from the product classification. Additionally, the notice includes two new steel product categories in the safeguard investigation. These are non-alloy and other alloy cold finished bars (product category 27) and non-alloy wire (product category 28). The new products subject to investigation are classified under the following HS code subheadings: 7215 10 00, 7215 50 11, 7215 50 19, 7215 50 80, 7228 10 90, 7228 20 99, 7228 50 20, 7228 50 40, 7228 50 61, 7228 50 69, 7228 50 80, 7217 10 10, 7217 10 31, 7217 10 39, 7217 10 50, 7217 10 90, 7217 20 10, 7217 20 30, 7217 20 50, 7217 20 90, 7217 30 41, 7217 30 49, 7217 30 50, 7217 30 90, 7217 90 20, 7217 90 50, and 7217 90 90.

On 19 July 2018, the European Commission imposed a provisional safeguard duty on imports of certain steel products classified under 23 product categories. Out of the 28 categories under investigation no provisional duty was imposed on goods from product categories 10, 11, 19, 24, and 27. The rate of duty is 25% and is imposed when the specified import tariff quota is exhausted or the given product category does not benefit from a tariff quota. The tariff quota volume is specified in Annex V and varies depending on the product category. The duty is in force for a period of 200 days. A number of developing countries are exempt from the provisional duty. The Resolution imposing provisional duties was issued on 18 July 2018.

On 2 February 2019, the European Commission imposed a definitive safeguard duty on imports of certain steel products classified under 26 product categories out the 28 product categories investigated. Product categories 11 and 23 are excluded from definitive duties. The rate of duty is an out of quota tariff of 25%. The quota imposed varies depending on the subject product and the country of origin. On 1 July 2019, the respective tariff rate quota is increased by 5%. On 1 July 2020, the respective tariff rate quota is again increased by 5%. The duty is in force until 30 June 2021. The following countries are exempt from the definitive duty: Botswana, Cameroon, Eswatini, Fiji, Ghana, Iceland, Ivory Coast, Liechtenstein, Lesotho, Mozambique, Namibia, Norway and South Africa. The Resolution imposing definitive duties was issued on 1 February 2019. 

On 17 May 2019, the European Commission initiated a review to investigate the existence of changed circumstances and assessment of the applied duty. More specially, the Commission will review the level of import tariff quotas on a number of products, "crowding out traditional import flows", potential detrimental effects, the list of developing countries excluded from duties, and other changed circumstances. 

AFFECTED SECTORS