Following the U.S.-EU Agreement to End Steel Trade Disputes
The United States and the European Union recently ended their trade disputes in the steel and aluminum industries. The United States’ tariffs on steel and aluminum imported from the European Union will be lowered from 25 percent and 10 percent to zero, and the European Union’s 10 percent retaliatory tariff will be eliminated at the same time.
In addition, they are going to end their WTO disputes related to Section 232 of the Trade Expansion Act of 1962 and initiate talks for an agreement with regard to the current oversupply and carbon reduction in the steel industry.
The Ministry of Trade, Industry and Energy held a meeting on Nov. 1 regarding the tariff elimination. The meeting was attended by the Korea Iron & Steel Organization, the 11 steelmakers including POSCO and Hyundai Steel, and the Korea Nonferrous Metal Association.
According to them, the move of the United States and the European Union is likely to adversely affect South Korea’s steel exports to the United States. “The agreement will lead to an increase in EU steel exports to the United States,” the ministry explained, adding, “The government will make efforts so that the adverse impact can be minimized.”