24.09.2026 Regulation #EU #China #Import #Duties #Quotas

EU imposes provisional safeguard quotas on electrical steel imports

The European Commission's Implementing Regulation (EU) 2026/2133 of 18 September 2026 (EUR-Lex) introduced provisional safeguard measures on imports of grain-oriented electrical steel (GOES) in the form of tariff-rate quotas coupled with price thresholds (European Commission). The measure covers not only the steel itself but also laminations and cores obtained from further processing of GOES, as well as cores already incorporated into power transformers (same source). The measures apply from 25 September 2026 to 26 February 2027 — 155 days (SteelOrbis).

How the quotas and price thresholds work

For GOES itself, the Commission set country-specific quotas (SteelOrbis):

Price thresholds per the same source: for GOES within the quota €2,800–3,400 per tonne (the exact figure depends on the TARIC code) and €3,500 per tonne outside the quota; for laminations €4,000 in-quota and €4,550 out-of-quota; for cores €5,000 and €5,600 respectively. The duty works as a price-alignment mechanism: if the import price is below the applicable threshold, the safeguard duty equals the difference between the threshold and the price, and if the price is at or above the threshold, no duty is collected (Transformer Magazine).

Who is affected, and the duty on cores inside finished transformers

Cores already built into finished power transformers are treated separately: no quota applies, but a flat provisional safeguard duty of €1,140 per tonne of core weight is charged (SteelOrbis; Transformer Magazine). Iceland, Liechtenstein, Norway, Kenya and Ukraine are excluded from the measure, along with most developing WTO members whose import share is limited (Transformer Magazine).

In practice, the measure affects importers of electrical steel and manufacturers of power transformers sourcing components outside the EU — chiefly from China, Japan and South Korea. The Commission attributes the decision to import pressure fuelled by global overcapacities and the closure of traditional export markets (European Commission, 18 September 2026).

What is driving Brussels' decision

The Commission opened the investigation on 27 March 2026 at the request of Germany, France and Poland (Borderlex; European Commission). Borderlex reports that GOES imports into the EU grew 120% between 2021 and 2025, China's share of that import volume rose from 20% to 53%, and EU producers' share of their own market fell from 66% to 43% (Borderlex). Reuters reports that the value of EU electrical steel imports rose from €188 million to €522 million between 2015 and 2025, with China accounting for more than 50% of EU imports in 2025 (Global Banking and Finance).

The producers being shielded are thyssenkrupp's steel unit (TKSE) and Poland's Stalprodukt; Reuters notes that rivals offered 25% discounts on excess capacity, prompting thyssenkrupp to temporarily halt production at its sites in Germany and France (Global Banking and Finance). thyssenkrupp Steel CEO Marie Jaroni called the measure significant because "for the first time, an entire value chain… is being protected rather than a single product alone," adding that more than 1,000 families in Gelsenkirchen and northern France depend on it (thyssenkrupp). Industry associations are split: Eurofer estimates the cost impact on grid electricity at around €0.002 per kilowatt-hour, while T&D Europe opposes the measure, arguing it would redirect more than €700 million per year from the EU transformer industry to "just two domestic producers"; imports of GOES from China, Japan, Russia, South Korea and the United States have already been subject to anti-dumping duties since 2015 (Borderlex).

How the provisional measures could become definitive

A safeguard investigation normally lasts 9 months, extendable to 11 months in exceptional cases (European Commission). Moving to definitive measures requires the Commission's proposal to win a qualified majority in the Safeguard Committee — at least 15 member states representing at least 65% of the EU population (European Commission). The committee vote on the provisional measures on 17 September 2026 was non-binding: 10 member states voted in favour, 6 against, and 11 abstained (Borderlex).

Primary sources

This material is for information only and does not constitute legal advice or customs consulting. Verify changes against the primary sources before acting.