The European Steel Producers Association (Eurofer) is advocating the European Commission to restrict scrap exports, emphasizing the move is crucial for the bloc's sustainability goals and industrial competitiveness.
In a November 12th statement, Eurofer called for stricter enforcement of EU waste shipment regulations, recognition of steel scrap as a strategic resource, and alignment of third-country environmental standards. They also advocated for bilateral trade deals to secure sustainable raw material supplies and the removal of any unjustified export restrictions.
Eurofer maintains that restricting exports to countries failing to meet environmental and social standards is essential, particularly in light of projected increases in EU scrap consumption in the coming years.
Türkiye's reliance on electric arc furnaces, which require substantial scrap metal, has made it the world's largest importer of scrap, heavily dependent on the EU as its main supplier. Over the past five years, this dependence has resulted in Türkiye receiving more than half to two-thirds of total EU scrap exports, representing over half of Türkiye’s annual imports.
Increased EU scrap exports since the 2010s are partly attributed to factors like Russian export restrictions and Brexit.
Eurofer's proposal is causing unease in developing markets, particularly given the upcoming implementation of the EU's Carbon Border Adjustment Mechanism (CBAM). The CBAM is expected to further limit exports from countries with less stringent environmental standards, potentially impacting their steel industries.
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