The chief executive of Ukraine's largest steel company, Metinvest, has called EU import restrictions on steel "unfair," stating they negatively impact Ukraine's ability to survive amid the ongoing war with Russia. Yuriy Ryzhenkov argued that Ukraine has been unfairly grouped with countries like China and Turkey in measures designed to curb cheap imports, despite a free-trade agreement.
EU steel import restrictions are impacting Ukraine's ability to export its products, a critical component of its economy and a vital source of income during wartime. The measures, intended to protect European manufacturers from cheaper imports, are seen by Ukrainian industry leaders as detrimental to the survival of their sector amidst ongoing conflict and infrastructure damage.
The chief executive of Metinvest, one of Ukraine's largest steel companies, has criticized the European Union's recent import restrictions on steel, arguing they unfairly penalize Ukraine amid its ongoing war with Russia. Yuriy Ryzhenkov told the BBC that the tariffs, intended to curb cheap imports from countries like China and Turkey, have been applied without consideration for Ukraine's dire situation.
Ryzhenkov stated that access to the EU market is crucial for Ukraine's steel industry's survival and that the restrictive measures hinder its ability to cope. He noted that while a free-trade agreement exists, it does not prevent the EU from implementing such protectionist policies. The EU has capped tax-free steel imports at 18.3 million tonnes annually, a 47% reduction from previous levels, with specific country quotas but an overall aim to cut imports.
The European Commission acknowledged Ukraine's difficult situation and stated that its specific steel quota guaranteed exports, though at a lower level than in past years. The commission also mentioned offering compensations to major suppliers, including Ukraine. The Ukrainian steel industry estimates a potential 50-60% fall in exports to the EU. Before Russia's full-scale invasion in 2022, metallurgy and mining constituted about 10% of Ukraine's national income and a third of its exports, with the EU being its primary customer.
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