News » Raised climate ambition must be matched with robust framework
Raised climate ambition must be matched with robust framework
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The European steel industry is already hard at work developing new ways to produce carbon-lean steels, but the EU needs to implement a set of concrete measures, as soon as possible, to ensure that decarbonisation is achieved while actually ensuring growth and sustainability. Achieving the levels set by the EU will require an overhaul of the regulatory regime that governs how the steel industry operates, environmental rules and the EU's trade policy.
To make the EU’s recovery plan and green transition a success, a Green Deal on Steel should be a coordinated approach for the EU policies on industry, climate, energy, trade and recovery.
This deal on steel should include the application of trade defence instruments without inhibition, the adoption of new tools to address damaging foreign subsidies, and the reform and modernisation of the WTO. To the make a success of the green transition, we need an effective carbon border measure reinforcing existing carbon leakage measures and green transition support, including boosts for innovation, development and deployment.
The green transition in steel, as part of the objectives of the Green Deal, will not succeed without fair competition in trade and balanced environmental costs. Steel has the greatest leverage effect on the path to a climate-neutral Europe and it is an important test for whether Europe will find its place in the new world order.
To find out more, please visit the Green Deal on Steel section of the EUROFER website.
Brussels, 11 September 2025 – The lack of a solution for steel in the EU-U.S. trade negotiations, the ongoing unpredictability of the global geoeconomic situation, and persistently weak demand against an ever-growing global steel overcapacity are squeezing the European steel market. In 2025, the outlook points to stagnation, with potential recovery only in 2026 — conditional on improvements in the global economy and an easing of trade tensions. According to EUROFER’s latest Economic and Steel Market Outlook, another recession both in apparent steel consumption (-0.2%, revised upwards from -0.9%) and in steel-using sectors (-0.7%, revised downwards from -0.5%) is confirmed for 2025. Growth prospects are now delayed at least to 2026, with projections of a rebound for both apparent steel consumption (+3.1%) and steel-using sectors (+1.8%). However, steel imports continue to hold historically high market shares (25%) in 2025.
Third quarter 2025 report. Data up to, and including, first quarter 2025
Brussels, 10 September 2025 – Reacting to today’s State of the Union Address delivered by Commission President Ursula von der Leyen, Axel Eggert, Director General of the European Steel Association (EUROFER) said: