The above amended regulations were issued after an investigation to assess whether the early termination of safeguard measures - before June 2023 - is reasonable or not according to aggregate import data in 2022. The above amended regulations remain the same. maintain the safeguard measure on steel imported into the EU until the expiration date of June 30, 2024. The regulation takes effect from July 1, 2023.

All steel safeguard tariff quotas (TRQs) will continue to increase by 4% from 1 July 2023. Any WTO member that is a developing country is exempted from applying if the rate The country's export value to the EU remains below 3% of total import turnover for each product type. In addition, if in a given category the aggregate share of imports from developing countries (with an individual share of less than 3%) exceeds 9% in total, then all developing countries will have to subject to the same measures in that product category. The Commission is committed to monitoring the increase in imports after the measure is adopted and to regularly review the list of excluded countries.

According to the above Regulation, countries that benefit from opening country-specific quotas include Brazil, China, Egypt, India, Indonesia, Malaysia, Moldova, North Macedonia, Oman, South Africa, Turkey. Ky and Vietnam. Vietnam is additionally applied to category 26 and removed from category 3A compared to the old scope of application. All developing countries are included in categories 4B, 5, 25B and 28 because their total import share in 2022 is less than 3% and is higher than 9%.

The steel safeguard measure was introduced in the summer of 2018 after the US imposed a 25% tax on the EU and other countries for national security reasons, and concerns that the European market was bogged down by overcapacity. In 2022, Belarus and Russia are completely excluded from the EU steel market and their quotas are reallocated. The EU's steel safeguard measure will expire next year. But further extension seems likely, especially if the original thrust of the US Section 232 tariff regulation - now converted into a tariff quota - remains in place against the EU.

Thus, along with CBAM regulations, these safeguard measures will increase barriers for steel exports to the EU.

Minh Toan