The EU proposes to continue duty-free imports of Ukrainian steel, while simultaneously purchasing goods from Russia.

The European Commission has taken the initiative to continue supporting the Ukrainian metallurgical industry, leaving the current exemption from trade restrictions on steel imports from Ukraine to the EU unchanged. Through this initiative, the Ukrainian metallurgical sector will be able to continue exporting products to the EU without restrictions, which is an important source of income for Ukraine.

This decision is aimed at supporting Ukrainian producers who have found themselves in difficult conditions resulting from Russian aggression. If the proposal is supported by the EU Council and the European Parliament, Ukrainian steel will remain outside the scope of EU safeguard measures even after the temporary autonomous trade measures expire. The EU market accounts for 64% of Ukraine’s steel exports.

However, last year, despite sanctions, the EU imported 5.34 million tons of metallurgical products from the Russian Federation worth over €2.5B. The largest import volumes were semi-finished products – 3.15 million tons (+1.1%). Ukraine could replace Russian suppliers by increasing its metallurgical production capacity.