Recent Eurostat data compiled by Eurofer, the Brussels-based industry group, indicates that from June to December 2025, there was a 30 percent decrease in European steel shipments to the US compared to the corresponding period the year before.
The decrease in steel exports highlights the significant effect of the 50 percent tariffs imposed by the US on EU steel.
This impact persists despite the trade agreement signed by the EU and US in July 2025, which established a general 15 percent tariff on EU goods by the US. However, steel was excluded from this agreement, and negotiations to reduce tariffs are currently at a standstill.
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In June of 2025, Washington instated a 50 percent tariff on steel and aluminum imported from the EU, and in August of the same year, the measures were expanded to encompass over 400 different steel and aluminum products.
The tariffs imposed by the US have been portrayed as a protective measure against the influx of Chinese overproduction saturating international markets, including those in Europe.
As Chinese exports shift focus from the US to the EU, the European Commission put forth a proposal on October 7, 2025, to reduce the amount of steel permitted into the bloc without duties by fifty percent.
Additionally, they suggested implementing a 50 percent tariff on imports surpassing a set quota of 18.3 million tons annually. The EU legislator must consider the proposal regarding steel. Simultaneously, Brussels aims to initiate discussions with the White House in an effort to negotiate reduced tariffs on steel imported from the EU.
US negotiators have made it clear that the restart of talks is contingent upon the enforcement of the EU-US trade agreement negotiated last summer between Commission President Ursula von der Leyen and President Donald Trump.
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As part of this agreement, the EU committed to eliminating tariffs on US products and agreed to a 15 percent tariff on its own goods exported to the US. As the EU legislative process is still pending approval from both lawmakers and member states, Washington is becoming increasingly impatient.
Tensions have the potential to escalate even further following the introduction of amendments by EU lawmakers, which could complicate negotiations with member state governments. The forthcoming month of March is anticipated as the timeframe for the European Parliament to carry out a vote on the agreement, thus setting the stage for subsequent discussions with member states.
Negotiations between European officials and their American counterparts came to a halt following the US's declaration of intent to forcibly acquire Greenland from Denmark in January. Despite attempts to temper its rhetoric, the US's initial stance caused significant delays in the talks. Furthermore, the administration's persistent push for more relaxed regulations in Europe regarding digital laws has further complicated the negotiations.