Metinvest chief executive Yuriy Ryzhenkov told the BBC that recent EU steel tariffs, introduced to curb cheap imports from China, are unfairly squeezing Ukraine’s steel sector. He argues that the measures, which treat Ukraine the same as other importers, threaten the survival of a key industry already battered by war.
Background: EU steel protectionism
The European Union has imposed import restrictions on steel to protect domestic manufacturers. The policy caps duty‑free steel imports at 18.3 million tonnes per year – a 47 % cut from 2024 levels – and includes country‑specific quotas. While the rules target cheap steel from China and Turkey, they also affect other exporters, including Ukraine.
Ukraine’s plea for a carve‑out
Ryzhenkov says Ukraine has been "bundled together" with other importers without regard for its wartime circumstances. He called for at least a "carve out" that would allow Ukrainian steel to continue accessing the EU market. The European Commission replied that it had considered Ukraine’s difficult situation when shaping its steel policy, but the specific quota allocated to Ukraine remains lower than in previous years.
Impact on Ukrainian steel exports
According to the Ukrainian steel industry, the new EU measures could slash steel exports to the bloc by 50–60 %. The sector, which accounted for roughly 10 % of Ukraine’s national income and a third of its exports before the 2022 invasion, relies heavily on the EU as its top customer.
War‑time challenges
Since Russia’s full‑scale invasion, all Ukrainian steel mills have faced bombings, with strikes intensifying recently. Ryzhenkov recalled a September when "no single tonne of steel" was produced for the first time in about 150 years. The company has upgraded shelter areas at its plants to protect workers during air raids, but logistical constraints mean the EU remains the only viable market for most of its output.
Looking ahead
Ryzhenkov warned that the coming winter could be "one of the hardest in our history". With a potential 60 % reduction in market access, the industry faces a dire situation that could jeopardise its survival. He emphasized that any relief – such as a dedicated Ukrainian quota or compensation – would be crucial for keeping the sector afloat.
Analysis and uncertainty
Analysis: The EU’s anti‑dumping stance reflects genuine concerns about competition from Chinese steel, yet the blanket application of quotas fails to accommodate Ukraine’s extraordinary circumstances. A targeted carve‑out could preserve a strategic supplier while still protecting EU producers from unfair trade practices.
Uncertainty: The exact size of the proposed Ukrainian carve‑out and the timeline for any policy adjustment remain unclear. Further negotiations between Kyiv and Brussels will determine whether the EU can balance its protectionist goals with the humanitarian and economic needs of a war‑torn ally.