A strategic dialogue focusing on the future of the European steel sector was launched on Tuesday by European Commission President Ursula von der Leyen.
While the steel sector provides 2.5 million jobs in the EU, the industry is under pressure as production costs have risen due to high energy prices. Sale prices have fallen because of increased global overcapacity and decreased demand.
This situation prevents the sector from investing in clean steel, which is essential for decarbonisation, according to the Commission’s press release.
The strategic dialogue aims to ensure that the sector remains a "key driver" of the European economy. "Our European Union was built on a community of coal and steel. Steel is everywhere, from wind power to defence. But European steelmakers are at a crossroads," Von der Leyen noted.
The dialogue will result in an "action plan for steel and metal,” including short and long-term measures. These will consider replacing the current safeguard measures, due to expire in June 2026. These restrict the import of certain types of steel to protect EU producers.
The Commission has already proposed actions in its Clean Industrial Deal to lower energy prices for the industry and address overcapacity issues. The Deal also includes measures to create a market for clean steel and accelerate investments.
Von der Leyen has asked the European Commissioner for Industrial Strategy, Stéphane Séjourné, to present an action plan by 19 March.
At the end of January, the Commission also initiated a strategic dialogue with the automotive sector. An action plan for this sector will be presented tomorrow.
