European Parliament Approves Raising Steel Tariffs to 50% to Counter Cheap Chinese Imports

STRASBOURG, May 19 (AFP-Services) – To protect the embattled European steel industry from the impact of cheap Chinese exports, the European Union (EU) proposed doubling tariffs on imported steel products to 50% and slashing duty-free quotas by 47%. The measure was given final approval today by the European Parliament in a 606 to 16 vote. According to Agence France-Presse, the EU's strategy echoes the approach of U.S. President Donald Trump, who also imposed 50% tariffs to prevent the dumping of cheap Chinese metals in the United States. The new measures passed by the European Parliament originate from a proposal made by the European Commission last year. It reduces the annual duty-free quota for imported steel to 18.3 million metric tons, the EU's import level in 2013, as the Commission found that the market became unbalanced due to overproduction after that year. The overproduction of steel is primarily attributed to China's large-scale subsidies for its domestic producers. Today, more than half of the world's steel is made in China. Karin Karlsbro, the Member of the European Parliament who pushed for the measures, stated: 'Europe needs a strong and competitive steel industry, and such an industry must be based on trade, innovation, and fair competition. We must combat the negative trade impacts of global overcapacity.' These measures still require final approval from EU member states to become law, after which they will take effect on July 1. On another front, the EU has also been continuously calling on the United States to reduce its tariffs on EU steel products. (Translator: Chang Cheng-chien) 1150519