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CBAM causes concern in the European steel industry

The meeting, hosted by Eurometal, brought together industry leaders from Germany, Austria, the Netherlands and Belgium. The main topic of the meeting was the Carbon Border Adjustment Mechanism (CBAM) and its potential impact on the European steel processing industry. Participants discussed their concerns and solutions for the future of the industry.

CBAM causes concern in the European steel industry

In particular, the meeting focused on the fact that Asian suppliers are looking for workarounds and this threatens the European metal forming industry and steel service centres. Leading European steel executives emphasised that the costs and regulations imposed by CBAM put the industry at risk of losing its competitiveness. The fact that some large customers prefer to import steel-containing end products from outside the EU to circumvent these regulations poses a significant threat to European steel producers.

While European steel service centres are already investing heavily in decarbonisation and cost optimisation, they have to contend with the additional burdens of CBAM. Despite these challenges, it was emphasised that cooperation and innovation are vital for the future of the industry. The working group stated that intra-industry dialogue and cooperation should continue. It was stated that such forums play an important role in finding solutions to complex problems.

Future plans and harmonisation of the sector...

It was emphasised that the future of the European steel processing sector depends on its ability to adapt to the requirements of CBAM. Participants emphasised the importance of maintaining the positive spirit of cooperation in the industry and developing innovative approaches. During the event, it was announced that a similar meeting is planned to be organised in Bönen, Germany in the spring of 2025. It is believed that such events will enhance the industry's ability to overcome the challenges it faces.

General economic climate and sectoral dynamics...

It was also stated that the current economic conditions and the general challenges faced by the sector were also discussed at the meeting. Issues such as energy efficiency, labour safety and distribution challenges were also discussed. The European metallurgical industry is struggling with problems such as the difficulty of competing with cheap imported products and weak domestic demand. Especially in Germany and other European countries, major steel mills are facing capacity constraints, which is affecting the overall dynamics of the industry.

The meeting highlighted once again the need for co-operation and innovation in the European steel processing sector to cope with new regulations such as CBAM. Industry leaders emphasised the importance of joint action and developing strategic plans on sustainability and competitiveness. The European steel processing sector will continue to take a united approach to tackle such challenges.

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