Regulation (EU) 2026/1384 of the European Parliament and of the Council of 17 June 2026 addressing the negative trade-related effects of global overcapacity on the Union steel market and amending Regulation (EU) 2020/2170
Regulation (EU) 2026/1384 of the European Parliament and of the Council of 17 June 2026 addressing the negative trade-related effects of global overcapacity on the Union steel market and amending Regulation (EU) 2020/2170
Data as of 2026-07-04 · Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails. · Read the official text ↗
1. The objective of this Regulation is to address the negative trade-related effects of global overcapacity on the Union steel market by establishing a coherent and comprehensive framework based, on the one hand, on the opening of tariff quotas and the setting of an out-of-quota duty in respect of the products within the scope of this Regulation imported into the Union and, on the other hand, on the possibility, where appropriate, of applying bilateral safeguard measures in respect of those products originating in third countries with which the Union has concluded a free trade agreement.
2. Measures adopted under this Regulation shall not restrict trade beyond what is strictly necessary to address the negative effects of global overcapacity on the Union steel market.
1. Tariff quotas of the Union are hereby opened, on an annual basis, in relation to imports into the Union of each of the product categories listed in Annex I.
2. For each product category listed in Annex I, a specific volume of tariff quotas is opened as provided under Annex II on a yearly basis from 1 July of each year to 30 June of the following year (‘yearly period of application’). The total annual volume of tariff quotas is set out in Annex II.
3. Where a tariff quota is exhausted, or where imports of the product categories do not benefit from a tariff quota, the imports of the product categories listed in Annex I shall be subject to an out-of-quota duty at the rate of 50 % ad valorem as set out in Annex II.
4. This Article shall apply to all imports of the product categories listed in Annex I, including imports of products originating in a country with which the Union has concluded an agreement providing for tariff preferences or in a country benefitting from autonomous tariff preferences.
5. This Article shall not apply to products originating in:
(a)
Iceland, Liechtenstein or Norway;
(b)
countries in respect of which bilateral safeguard measures apply pursuant to Article 6.
1. The tariff quotas set out in Article 2 shall be managed by the Commission and the Member States in accordance with the management system for tariff quotas provided for in Articles 49 to 54 of Implementing Regulation (EU) 2015/2447.
2. The tariff quotas shall be administered quarterly.
3. The allocation of each quarterly quota shall be stopped on the 20th working day of the Commission following the end of the quarterly period.
4. From 1 July 2026 to 30 June 2027, the unused volumes of tariff quotas in one quarter shall be carried over to the next quarter within the same yearly period of application.
5. The Commission shall adopt implementing acts determining whether, for each product category listed in Annex I, the unused volumes of tariff quotas in one quarter are to be carried over to the next quarter within the same yearly period of application, taking into account, as applicable:
(a)
the increased level of import pressure, in particular due to the concentration of a very high volume of free-of-duty imports in a certain quarter;
(b)
the average use of tariff quotas during the first three quarters of the yearly period of application, in particular where that average use is above 80 %;
(c)
insufficient availability of supply for downstream steel users due to market developments.
Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 7(2). The first of those implementing acts shall apply from 1 July 2027.
1. At the moment of import, importers of product categories listed in Annex I shall provide verifiable appropriate evidence, such as a mill test certificate, to prove the country in which raw steel or iron was initially produced in liquid form within a steel- or iron-making furnace and subsequently cast into its first solid state (‘country of “melt and pour”’).
2. The Commission is empowered to adopt implementing acts to determine the type of evidence to be provided by importers pursuant to paragraph 1 while taking into account the specific situation of SMEs and avoiding disproportionate administrative burdens. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 7(2). The first of those implementing acts shall be adopted by 31 August 2026.
1. The Commission shall adopt implementing acts laying down the country distribution of the tariff quotas listed in Annex II, taking into account the Union interest and, as applicable, the following elements:
(a)
tariff quota levels equivalent to the import market share that prevailed in the Union steel market in 2013;
(b)
tariff quotas per product category based on the share of imports that each product category held over the period 2022-2024, calculated as a share of the tariff quota levels referred to in point (a);
(c)
existing and future free trade agreements covering in their scope any of the product categories listed in Annex I;
(d)
trade-distorting effects of third-country measures impacting the Union steel market;
(e)
whether a third country is found to be in breach of ILO conventions or multilateral environmental agreements;
(f)
any international agreement concluded by the Union under Article XXVIII of the GATT 1994 concerning the tariff quotas opened in relation to product categories listed in Annex I;
(g)
any international agreement or non-binding international understanding addressing the levels of global overcapacity for the product categories listed in Annex I;
(h)
diversification of sources of supply;
(i)
the situation of a Union candidate country facing an exceptional and immediate security situation, in particular where it previously benefitted from preferential access to the Union steel market for the product categories listed in Annex I;
(j)
information gathered in application of Article 4.
2. Where the Commission has applied bilateral safeguard measures pursuant to Article 6 which entail tariff quotas, the implementing acts referred to in paragraph 1 of this Article shall not distribute an amount of tariff quotas corresponding to the tariff quotas opened as part of those bilateral safeguard measures.
3. Where restrictive measures adopted pursuant to Article 29 TEU and Article 215 TFEU prohibit the import from third countries of one or more product categories listed in Annex I to this Regulation, the implementing acts referred to in paragraph 1 of this Article shall not distribute tariff quotas to those third countries for those product categories.
4. The implementing acts referred to in paragraph 1 of this Article shall be adopted in accordance with the examination procedure referred to in Article 7(2). The first of those implementing acts shall apply from 1 July 2026.
5. On duly justified imperative grounds of urgency relating to the need to ensure that tariff quotas listed in Annex II are distributed by 1 July 2026, the Commission shall adopt immediately applicable implementing acts in accordance with the procedure referred to in Article 7(3).
By way of derogation from Regulation (EU) 2019/287, the Commission may adopt implementing acts applying bilateral safeguard measures on imports of products within the scope of this Regulation originating in those countries with which the Union has concluded a free trade agreement. Those bilateral safeguard measures shall comply with the applicable free trade agreement and shall take into account the Union interest.
Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 7(2).
On duly justified imperative grounds of urgency relating to the need to ensure that bilateral safeguard measures can apply from 1 July 2026, the Commission may adopt immediately applicable implementing acts in accordance with the procedure referred to in Article 7(3).
1. The Commission shall be assisted by the Trade Barriers Committee established by Article 7 of Regulation (EU) 2015/1843 of the European Parliament and of the Council ( 12 ) . That committee shall be a committee within the meaning of Regulation (EU) No 182/2011.
2. Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.
3. Where reference is made to this paragraph, Article 8 of Regulation (EU) No 182/2011, in conjunction with Article 5 thereof, shall apply.
1. The Commission is empowered to adopt delegated acts in accordance with Article 9 to amend the volumes of tariff quotas listed in Annex II, while ensuring that their total value is neither lower than 14 400 000 tonnes nor higher than 22 200 000 tonnes.
The Commission shall take into account the Union interest and, as applicable, the following elements:
(a)
the evolution of demand;
(b)
changes in the import market shares;
(c)
significant developments in global overcapacity;
(d)
the decarbonisation path of the steel sector in the Union;
(e)
the evolution and extent of third-country measures impacting imports of steel;
(f)
potential issues of availability of supply in certain product categories linked to insufficient capacity readily available in the Union in certain product categories compared to demand, and to significant related price increases, negatively impacting the Union’s downstream industries;
(g)
the objectives of the Union’s common security and defence policy;
(h)
undue crowding-out effects in certain tariff quotas.
2. Where, in the case of sudden changes on the markets of the product categories listed in Annex I, it is necessary to amend this Regulation quickly and imperative grounds of urgency so require, the procedure provided for in Article 10 shall apply to delegated acts adopted pursuant to this Article.
1. The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article.
2. The power to adopt delegated acts referred to in Article 8 shall be conferred on the Commission for a period of 5 years from 25 June 2026. The Commission shall draw up a report in respect of the delegation of power not later than nine months before the end of that 5-year period. The delegation of power shall be tacitly extended for periods of an identical duration, unless the European Parliament or the Council opposes such extension not later than three months before the end of each period.
3. The delegation of power referred to in Article 8 may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect the day following the publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.
4. Before adopting a delegated act, the Commission shall consult experts designated by each Member State in accordance with the principles laid down in the Interinstitutional Agreement of 13 April 2016 on Better Law-Making.
5. As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.
6. A delegated act adopted pursuant to Article 8 shall enter into force only if no objection has been expressed either by the European Parliament or by the Council within a period of two months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or of the Council.
1. Delegated acts adopted under this Article shall enter into force without delay and shall apply as long as no objection is expressed in accordance with paragraph 2. The notification of a delegated act to the European Parliament and to the Council shall state the reasons for the use of the urgency procedure.
2. Either the European Parliament or the Council may object to a delegated act in accordance with the procedure referred to in Article 9(6). In such a case, the Commission shall repeal the act immediately following the notification of the decision to object by the European Parliament or by the Council.
The Commission shall make available an online contact point. Union economic operators may use that contact point to request information concerning the implementation of this Regulation.
1. By 31 December 2026, the Commission shall assess the necessity of amending the product scope to include the products covered by the following codes of the Combined Nomenclature (CN), as set out in Council Regulation (EEC) No 2658/87 ( 13 ) :
(a)
7303 00 10 , 7303 00 90 ;
(b)
7229 20 00 , 7229 90 20 , 7229 90 50 , 7229 90 90 ;
(c)
7223 00 11 , 7223 00 19 , 7223 00 91 , 7223 00 99 ;
(d)
7214 10 00 , 7228 10 50 , 7228 40 10 , 7228 40 90 .
Where sufficient evidence is gathered in its assessment demonstrating that necessity, the Commission may without undue delay submit a legislative proposal to the European Parliament and to the Council. To that end, the Commission shall, by 1 July 2026, initiate a consultation process with stakeholders, including economic operators and Member States.
2. By 30 June 2027, the Commission shall assess the necessity of amending the product scope, taking into account in particular whether it should cover additional products that are made of, or contain, a significant amount of steel, including as a matter of priority downstream iron and steel products not covered by Annex I. Where sufficient evidence is gathered in its assessment demonstrating that necessity, the Commission may without undue delay submit a legislative proposal to the European Parliament and to the Council.
3. By 30 June 2029 and every two years thereafter, the Commission shall assess the necessity of amending the product scope, taking into account the wider situation of Union competitiveness and of the Union steel industry, both upstream and downstream actors, in particular the situation for SMEs, as well as the Union’s common security and defence policy. Where significant market disruptions or sudden changes in global trade patterns occur, the Commission shall conduct an earlier assessment.
4. For the purpose of the assessments referred to in paragraphs 2 and 3, the Commission shall initiate a timely consultation process with stakeholders, including economic operators and Member States.
5. By 30 June 2028, the Commission shall, based on the information collected pursuant to Article 4, assess whether it is necessary to designate the country of ‘melt and pour’ as the basis for benefiting from the tariff quotas provided for in this Regulation. Based on that assessment, the Commission may submit a legislative proposal to the European Parliament and to the Council.
6. By 30 June 2029 and every three years thereafter, the Commission shall evaluate the effectiveness of this Regulation, after having carried out broad consultations with stakeholders throughout the steel value chain.
Such evaluation shall have regard to:
(a)
the persistence of the circumstances that justified the adoption of this Regulation;
(b)
the Union interest; and
(c)
the situation of the Union steel industry, including:
(i)
price levels and capacity utilisation;
(ii)
the impact on upstream and downstream industries as well as on final consumers in the Union; and
(iii)
the decarbonisation path of the steel sector in the Union.
Based on that evaluation, the Commission may submit a legislative proposal to the European Parliament and to the Council to amend this Regulation.
7. By 30 June 2028 and every two years thereafter, the Commission shall submit a report on the implementation of this Regulation to the European Parliament and to the Council. That report shall be made public.
Regulation (EU) 2020/2170 is amended as follows:
(1)
in Article 1, the second paragraph is replaced by the following:
‘Goods listed in the Annex originating in the United Kingdom that fall within the scope of Regulation (EU) 2026/1384 of the European Parliament and of the Council ( *1 ) and that are brought into Northern Ireland by direct transport from other parts of the United Kingdom shall also be eligible for treatment pursuant to Union import tariff rate quotas if those goods are released for free circulation in the territory of Northern Ireland.
( *1 ) Regulation (EU) 2026/1384 of the European Parliament and of the Council of 17 June 2026 addressing the negative trade-related effects of global overcapacity on the Union steel market and amending Regulation (EU) 2020/2170 ( OJ L, 2026/1384, 24.6.2026, ELI: http://data.europa.eu/eli/reg/2026/1384/oj ).’;"
(2)
Article 1a is replaced by the following:
‘Article 1a
The Commission is empowered to adopt delegated acts, in accordance with Article 1b, amending this Regulation in order to add to the list set out in the Annex certain categories of goods originating in the United Kingdom that fall within the scope of Regulation (EU) 2026/1384 and that are brought into Northern Ireland by direct transport from other parts of the United Kingdom provided that the United Kingdom has demonstrated to the satisfaction of the Union a need for those goods to be released for free circulation in Northern Ireland.’.
This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union .
It shall apply from 1 July 2026.
However:
(a)
Article 4(2), Article 5(1), points (a) to (i), Article 5(2) to (5), and Articles 6 and 7 shall apply from 25 June 2026;
(b)
Article 4(1) shall apply from 1 October 2026;
(c)
Article 5(1), point (j), shall apply from 1 October 2027.