This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union . It shall apply from 1 July 2021.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels, 24 June 2021.

For the Commission

The President

Ursula VON DER LEYEN

( 1 ) Regulation (EU) 2015/478 of the European Parliament and of the Council of 11 March 2015 on common rules for imports, ( OJ L 83, 27.3.2015, p. 16 ).

( 2 ) Regulation (EU) 2015/755 of the European Parliament and of the Council of 29 April 2015 on common rules or imports from certain third countries, ( OJ L 123, 19.5.2015, p. 33 ).

( 3 ) Commission Implementing Regulation (EU) 2019/159 of 31 January 2019 imposing definitive safeguard measures against imports of certain steel products (“Definitive Safeguard Regulation”) ( OJ L 31, 1.2.2019, p. 27 ).

( 4 ) Notice of initiation concerning the possible extension of the safeguard measure applicable to imports of certain steel products ( OJ C 66, 26.2.2021, p.50 ).

( 5 ) The open versions of questionnaire replies are available for inspection of interested parties in the open file of the investigation: https://tron.trade.ec.europa.eu/tron/TDI (accessible to registered interested parties).

( 6 ) A virtual hearing between the Commission and the Russian Government took place on 8 April 2021.

( 7 ) Regulation (EU) 2015/478 of the European Parliament and of the Council of 11 March 2015 on common rules for imports ( OJ L83 of 27.3.2015 ).

( 8 ) https://tron.trade.ec.europa.eu/tron/TDI (accessible only by registered interested parties).

( 9 ) Available at DG TRADE’s dedicated website to the investigation (publicly accessible).

( 10 ) Data on a quarterly basis for the year 2020 is included in the questionnaire replies.

( 11 ) Given that the questionnaire replies do not include every steel producer in the Union, market share of the Union industry has been calculated based on the consumption data, import data and data from questionnaire replies.

( 12 ) Calculated over sales to unrelated customers in the Union.

( 13 ) Definitive Safeguard Regulation, recital (47).

( 14 ) For a full description of the product families, see recital (21) of the Definitive Safeguards Regulation.

( 15 ) The import data used in the investigation does not include imports from those countries that were excluded unconditionally from the safeguard measure. For these exclusions, see Article 6.1 of the Definitive Safeguards Regulation for European Economic Area (‘EEA’) countries, and Commission Implementing Regulation (EU) 2018/1712 of 13 November 2018 amending Implementing Regulation (EU) 2018/1013 imposing provisional safeguard measures with regard to imports of certain steel products, OJ L 286, 14.11.2018, p. 17 , for South Africa and certain other African countries with whom the EU had Economic Partnership Agreements (‘EPAs’) in place. This means that all findings throughout this investigation refer to worldwide imports except imports from those origins. Likewise, all findings regarding the effects of imports – both existing imports during the period considered and expected imports in the event of a lapsing of the safeguard measure – pertain to worldwide imports minus imports from those origins.

( 16 ) For a broader picture on import evolution in previous years, see Table 2 of the Definitive Regulation.

( 17 ) The Commission recalls that in Provisional Safeguard Regulation it had concluded that up to end of 2017, there had been a significant increase in imports into the Union market.

Furthermore, the share of imports compared with the production of the Union industry considerably increased under the safeguard measure (average of 16 % during the period considered) as compared to the years prior to the imposition of the measure (2013-2017, whether individually (maximum of 12 % in one year) or averaged (10 %)). Data regarding production for the period 2018-2020 can be found in Table 1 and for the period 2013-2017 in table 5 of the Definitive Safeguards Regulation.

( 18 ) See table 2 of Definitive Safeguard Regulation.

( 19 ) Data extracted from the Commission’s dedicated website providing information on every TRQ use, which is updated on a daily basis. The underlying data used for this analysis is publicly available at:

https://ec.europa.eu/taxation_customs/dds2/taric/quota_consultation.jsp

( 20 ) Commission Implementing Regulation (EU) 2020/894 of 29 June 2020 amending Implementing Regulation (EU) 2019/159 imposing definitive safeguard measures against imports of certain steel products ( OJ L 206, 30.6.2020, p. 27 ). See e.g. recitals (35), (36), (80).

( 21 ) World Steel Report: “World Steel in Figures, 2020’, p. 25. Available at: World Steel Report. See also OECD’s Steel Market Developments, Q4 2019, p. 24 and table 3. Available at: https://www.oecd.org/industry/ind/steel-market-developments-Q4-2020.pdf

( 22 ) Source: United States International Trade Commission - https://dataweb.usitc.gov/

( 23 ) These countries are (alphabetically listed): China, India, Korea (Republic of), Russia, Taiwan, Turkey, and Ukraine. The United Kingdom is also amongst the major exporting countries. However, since during the period considered it was still a member of the European Union, it has not been included when carrying out a backward looking assessment of import data of third countries.

( 24 ) This database gathers statistical information supplied by the national customs statistical offices from each country.

( 25 ) The OECD also confirmed this generally declining exporting trend on a wider level, i.e. covering also steel products outside the product concerned. See: OECD’s Steel Market Developments, Q4 2020, tables 3, 4 and 5. This general trend is also confirmed by tables 6 and 7 in the same document, showing the import evolution into the largest steel importing economies (table 6) and imports into other major steelmaking economies (table 7), and figure 8 (p.32). Available at: https://www.oecd.org/industry/ind/steel-market-developments-Q4-2020.pdf

( 26 ) Main steel exporting countries of the product concerned to the Union.

( 27 ) Source: CRU database. Data available for the main steel-making countries: Belarus, Bosnia and Herzegovina, Brazil, Canada, China, Egypt, India, Iran, Japan, North Macedonia, Mexico, Moldova, Russia, Serbia, South Korea, Switzerland, Taiwan, Turkey, Ukraine and Vietnam, and for the following group of product categories: Hot-Rolled coil and coil plate CR coil, Hot-Dipped Galvanized (HDG), EZ coil, Tinplate, Reversing mill plate, Rebar, wire rod, Merchant bar, Structural Sections and Rail.

( 28 ) This table is meant to give a general overview of consumption trends of some of the main product categories in the Union and in the main steel markets worldwide. As it is clear from the table, the data does not cover the product concerned as a whole.

( 29 ) See OECD’s Steel Market developments Q2 2021, of 1 March 2021, p.28, recital 53.

( 30 ) Ibid. at recital 55.

( 31 ) Global Steel Forum on Steel Excess Capacity, 2020 Ministerial Report, recital 17.

( 32 ) Ibid. at recital 23.

( 33 ) Ibid. at recital 24 (including figure 5).

( 34 ) Source: CRU database for years 2018-2020, in particular overcapacity figures compared to consumption and production. https://www.crugroup.com/analysis/steel/ (access under subscription)

( 35 ) See recitals (99) to (110) of Definitive Safeguard Regulation

( 36 ) OECD, Steel trade and trade policy developments, 24 February 2021, Annex A.

( 37 ) Notice of determination 2020/06: safeguard measures on certain steel products – application of tariff rate quotas - GOV.UK (www.gov.uk)

( 38 ) See Section 3.1.2.c. of this Regulation.

( 39 ) Source of raw data: Global Trade Atlas ‘GTA’. https://www.gtis.com/gta/. Figures pertaining to the period 2015-2020, for exports from the main steel exporting countries to the EU, namely China, India, Russia, South Korea, Taiwan, Turkey and Ukraine. (United Kingdom was not included because, despite being one of the top 8 exporting countries to the Union, in the period assessed it was still an EU Member State).

( 40 ) Commission Communication of 11 June 2013 (COM/2013/0407 final).

( 41 ) ©McKinsey & Company, Metals and Mining Practice, January 2018. Available at: https://www.mckinsey.com/~/media/mckinsey/industries/metals %20and %20mining/our %20insights/the %20current %20capacity %20shake %20up %20in %20steel %20and %20how %20the %20industry %20is %20adapting/the-current-capacity-shake-up-in-steel-and-how-the-industry-is-adapting.pdf

( 42 ) Commission Communication of 16 March 2016 (COM/2016/0155 final).

( 43 ) See, for instance, ArcelorMittal’s announcement to permanently close Krakow furnace and steel plant in Poland, 8 October 2020, available at: https://www.spglobal.com/platts/en/market-insights/latest-news/metals/100820-arcelormittal-to-permanently-close-krakow-furnace-and-steel-plant-in-poland.

Also see Bekaert’s announcement at: https://www.bekaert.com/en/about-us/news-room/news/bekaert-announces-restructuring-plans-belgium , Productos Tubulares’ job reduction in its open questionnaire reply and Outokumpu’s announcement to reduce its total employee headcount in Annex 32 of EUROFER’s submission.

( 44 ) See Interim Financial Report, Half year ending 30 June 2020, pages 12-14, Aperam Leadership Journey® available at: https://www.aperam.com/sites/default/files/documents/Aperam %20Half %20Year %202020.pdf

( 45 ) See, for instance, Thyssenkrupp’s open questionnaire reply and annexes.

( 46 ) For detailed description of ArcelorMittal’s projects and related press releases, see ANNEX 18 of EUROFER’s submission.

( 47 ) See, for instance Voestalpine’s open questionnaire reply.

( 48 ) See Salzgitter’s comprehensive restructuring program available at:

https://www.salzgitter-ag.com/en/company/strategy.html and also Salzgitter Mannesman Precision Tubes’ investment at: https://www.ndt.net/search/docs.php3?id=24381

( 49 ) Commission Communication of 10.3.2020 (COM(2020) 102 final).

( 50 ) Commission Communication of 5.5.2021 (COM(2021) 350 final).

( 51 ) Commission Staff Working Document of 5.5.2021 (SWD(2021) 353 final).

( 52 ) Commission Staff Working Document “Towards competitive and clean European steel”, SWD (2021) 353 final, 5.5.2021.

( 53 ) The Commission recalled that it had already increased the historical trade flows (average of imports in 2015 to 2017) by 5 % upon entry into force of the Definitive Safeguards Regulation.

( 54 ) Based on a compilation of the data available in the database at the end of the respective period.

( 55 ) See EUROFER’s rebuttal, p.37-39.

( 56 ) See OECD’s Steel Market developments Q2 2021, of 1 March 2021, figures 3, 4 and 5.

( 57 ) Source: S&P Global Platts, ©2021 by S&P Global, Inc. – data until 11 May 2021.

( 58 ) The choice of these categories is not meant to be exhaustive in scope, but it is nevertheless relevant to corroborate the price trends referred to by several interested parties (mostly users) because these categories are amongst the most relevant in terms of import volumes and they also concern two product families (flats (categories 1 and 4) and longs (category 13).

( 59 ) Ibid. p.24, section 6.2. See also: Steel Plats Global ‘Fundamentals support strong iron ore prices in 2021: Platts Analytics’, 4 May 2021: https://www.spglobal.com/platts/en/market-insights/latest-news/metals/050421-fundamentals-support-strong-iron-ore-prices-in-2021-platts-analytics (last accessed 12 May 2021); Financial Times ‘Iron ore price leaps 10 % on hopes of global economic recovery’, 10 May 2021: https://www.ft.com/content/e4c5d29b-51c2-4e8c-b87a-ad6cac924476 (last accessed 12 May 2021); Argus Media ‘Australia extends forecasts for iron ore price strength’ 11 May 2021, https://www.argusmedia.com/en/news/2213766-australia-extends-forecasts-for-iron-ore-price-strength?backToResults=true (last accessed 12 May 2021), Kallanish ‘Scrap exceeds $500 in Turkey’ 12 May 2021, https://www.kallanish.com/en/steel-news/market-reports/article-details/scrap-price-exceeds-dollar500t-in-turkey-0521/ (last accessed 12 May 2021). See also the sharp increase in transportation costs, S&P Global Platts (25 March 2021) ‘High container freight rates leave commodity traders scrambling for alternatives: https://www.spglobal.com/platts/en/market-insights/latest-news/shipping/032521-high-container-freight-rates-leave-commodity-traders-scrambling-for-alternatives

( 60 ) Extracted from Steel Platts Global ‘Fundamentals support strong iron ore prices in 2021: Platts Analytics’, 4 May 2021, available at: https://www.spglobal.com/platts/en/market-insights/latest-news/metals/050421-fundamentals-support-strong-iron-ore-prices-in-2021-platts-analytics (last accessed 15 May 2021).

( 61 ) See OECD’s Steel Market developments Q2 2021, of 1 March 2021 at p.24.

( 62 ) Ibid. at p.27.

( 63 ) See also S&P Global Platts, 14 May 2021, ‘Galvanized sheet supply squeeze, short imports leave EU buyers stranded Galvanized sheet supply squeeze, short imports leave EU buyers stranded - EUROMETAL (last accessed 15 May 2021).

( 64 ) See Fitch Ratings ‘Global Steel Price Rally Will Be Short-Lived’ (2 February 2021) https://www.fitchratings.com/research/corporate-finance/global-steel-price-rally-will-be-short-lived-02-02-2021 (last accessed 12 May 2021). See also IHS Markit, Steel Price Forecast and Market Outlook: https://ihsmarkit.com/solutions/steel-forecast.html (last accessed 25 May 2021)

( 65 ) Allegations made by several interested parties.

( 66 ) See Global Market Outlook of December 2020 and Global Market Outlook of April 2021, S&P Global Platts (last accessed 18 May 2021).

( 67 ) See consumption figures in table 2.

( 68 ) See European Manufacturers Automobile Association (ACEA) statements of 3 February 2020 https://www.acea.be/press-releases/article/covid-stakes-are-high-for-european-automotive-recovery-new-facts-and-figure, and of 30 July 2020 https://www.acea.be/press-releases/article/eu-car-sales-covid-recovery-expected-to-start-in-2021-auto-industry-says

( 69 ) OECD’s Steel Market developments Q2 2021, of 1 March 2021, p.21.

( 70 ) See S&P Global Platts, 16 April 2021, ‘Trade Review: Global steel imbalances present export opportunities in Q2’ https://www.spglobal.com/platts/en/market-insights/latest-news/metals/041621-trade-review-global-steel-imbalances-present-export-opportunities-in-q2 (last accessed 21 May 2021).

( 71 ) See IHS Markit, Steel Price Forecast and Market Outlook: https://ihsmarkit.com/solutions/steel-forecast.html (last accessed 25 May 2021)

( 72 ) See Exhibit 6 of EUROFER’s rebuttal, containing information from external sources confirming the restart of several furnaces by various Union producers in recent months.

( 73 ) See also Global Market Outlook of December 2020 and of April 2021, S&P Global Platts (last accessed 18 May 2021).

( 74 ) See OECD’s Steel Market developments Q2 2021, of 1 March 2021, at p.22.

( 75 ) See S&P Global Platts “ Steel supply should start to ease toward mid-year as production is restored”, 16 April 2021, ‘Trade Review: Global steel imbalances present export opportunities in Q2’ https://www.spglobal.com/platts/en/market-insights/latest-news/metals/041621-trade-review-global-steel-imbalances-present-export-opportunities-in-q2 (last accessed 21 May 2021). See also Fitch Ratings ‘High EU Carbon Prices to Weigh on Steelmakers’ Profitability’, 12 May 2021, https://www.fitchratings.com/research/corporate-finance/high-eu-carbon-prices-to-weigh-on-steelmakers-profitability-12-05-2021 (last accessed 23 May 2021).

( 76 ) Commission Staff Working Document “Towards competitive and clean European steel”, SWD(2021) 353 final, 5.5.2021, p. 2.

( 77 ) Ibid. at p. 3.

( 78 ) Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee, the Committee of the Regions and the European Investment Bank, “Steel: Preserving sustainable jobs and growth in Europe”, COM(2016) 155 final, 16.3.2016, p. 2.

( 79 ) This situation of large unused TRQ volumes across categories has taken place, to different degrees, throughout each period since the imposition of a provisional safeguard measure on 18 July 2018. A ‘period’ or ‘year’ under the safeguard measure has comprised the following: Period/year 1: 18 July 2018 – 30 June 2019, period/year 2: 1 July 2019 - 30 June 2020 and period/year 3: 1 July 2020 – 30 June 2021.

( 80 ) Commission Implementing Regulation (EU) 2020/2037 of 10 December 2020 amending Implementing Regulation (EU) 2019/159 imposing definitive safeguard measures against imports of certain steel products, OJ L 416, 11.12.2020, p.32 .

( 81 ) For detailed description of this project see file “Start-up of the new Tenova Consteel® EAF at Arvedi Plant, Cremona, Italy - TENOVA.pdf” under Annex 19 in EUROFER’s submission.

( 82 ) See evolution of imports in Table 9.

( 83 ) Commission Implementing Regulation (EU) 2020/2037 of 10 December 2020 amending Implementing Regulation (EU) 2019/159 imposing definitive safeguard measures against imports of certain steel products, OJ L 416, 11.12.2020, p.32 .

( 84 ) Commission Implementing Regulation (EU) 2019/1382 of 2 September 2019 amending certain Regulations imposing anti-dumping or anti-subsidy measures on certain steel products subject to safeguard measures ( OJ L 227, 3.9.2021, p. 1 ).

COMMISSION IMPLEMENTING REGULATION (EU) 2021/1029 of 24 June 2021 amending Commission Implementing Regulation (EU) 2019/159 to prolong the safeguard measure on imports of certain steel products ANNEX “ANNEX IV