In a joint statement, the associations emphasized that the plan is a protectionist approach to secure raw material supplies for the European steel and aluminum industry and is a serious interference in open markets. Such restrictions will have a negative impact on European recyclers and metal traders who have invested significantly in sustainable recycling processes, the associations stated.
The statement added that such measures, which contradict the EU's advocacy of open markets in global trade and criticism of other countries' export restrictions, will negatively affect trade with countries with which the EU has good trade relations. They also emphasized that there is no guarantee that all recycled metals will be processed within the EU and purchased by European industry at fair prices, which would seriously jeopardize the steel and metal recycling industry.
BVSE and VDM warned that export restrictions could cause companies in the recycling sector to face serious problems such as falling collection rates, economic losses, job losses and lack of innovation. This would also have a negative impact on European raw material security.
Three Demands for Fair Competition in Foreign Trade
The associations demanded the following three measures to create a fair competitive environment in foreign trade:
- Metal Trade Reciprocity: Equal rules should apply to all material flows and exports of recycled raw materials should not be restricted while exports of semi-finished products should not be liberalized. If strategic metals such as copper, aluminum and steel must remain in Europe, the same principle should apply to their processed forms. Otherwise, there will be market distortions and no coherent raw materials policy.
- “Buy Europe": Recycled materials produced in Europe should be prioritized and the same standards should be applied to imported materials. European recycled metals produced to high environmental and social standards should not compete with foreign materials produced to lower standards. This ensures fair competition and maintains high recycling standards in Europe.
- “Secondary Priority": European smelters should use recycling raw materials as a priority and adjust their production processes accordingly. Scrap export restrictions should be supplemented by binding and punitive recycling material utilization quotas to ensure that all scrap in Europe is used. Furthermore, plants should upgrade their technology to process less demanded scrap grades. This both increases recycling rates and protects the environment by reducing the use of primary raw materials.
The associations emphasized that export restrictions on steel and metal scrap are ecologically and economically unacceptable and that all market participants must take responsibility instead of unilateral protectionist measures. The EU should pursue a coherent raw materials policy that ensures long-term raw material security without undermining the principles of a free market economy and sustainable circular economy.
Comments
No comment yet.