🚨 7 Days to Go: EU Steel Quotas Shrink 47% on July 1 – Your Last Chance to Ship to Europe Without 50% Tariff

The clock is ticking. In just seven days, the European Union‘s new steel trade protection framework will take effect – and it will fundamentally change the cost structure of every steel shipment entering Europe.

On June 8, 2026, the EU Council formally approved the new steel import restriction measure. Effective July 1, these rules will replace the existing safeguard measures that expire on June. The new framework includes three game-changing provisions:

1. Quotas slashed by nearly half. The EU will compress its annual tariff-free steel import quota to just 18.3 million tons – a 47% cut from previous levels. Once the quota is exceeded, imported steel products will face a staggering 50% additional duty.

2. “Melt and Pour” origin rule. The new regulation introduces a mandatory “melted and poured” requirement, meaning the origin of steel products will be determined by where the steel was first melted and cast – not where it was processed or transshipped. This effectively blocks circumvention through third countries like Vietnam, Indonesia, Malaysia, or Turkey.

3. Quota carryover restricted. Unused quota can no longer be freely carried over to the next quarter; transfers will be limited to within the same quota year.

The EU warns that global steel overcapacity is projected to reach 721 million tons by 2027 – more than five times the EU‘s annual consumption-40. Meanwhile, EU steel industry capacity utilization has fallen to 67%, and the region has lost approximately 65 million tons of steel capacity and 100,000 jobs since 2007. The EU views this not as a temporary measure but as a long-term industrial protection strategy.

The bottom line: After July 1, shipping steel to Europe without quota will mean a 50% tariff – effectively pricing most Chinese steel products out of the market. The window for quota-secured shipments is closing fast.

📩 Contact CNB Group immediately. We can help you secure shipping space and quota before the July 1 deadline. Every day counts.