In a bid to counteract China’s dominance in global steel markets, an alliance of German steelmaking states has thrown its weight behind a proposed global sustainable steel club. The move, supported by the United States and Brussels, aims to address the issue of overcapacity while facilitating the industry’s transition towards greener practices.
The alliance, comprising eleven German states hosting steelmakers, expressed its endorsement for ongoing negotiations between the EU and the US to tackle global overcapacity. This collaboration forms part of discussions surrounding the formation of a Global Agreement on Sustainable Steel and Aluminium (GASSA).
“Fair international trading conditions” remain a top priority, emphasized Kerstin Rippel, CEO of the steel industry alliance WV. Rippel highlighted the importance of addressing key factors such as lower power prices, access to hydrogen, and the promotion of “green lead markets,” where governments incentivize the adoption of environmentally friendly products.
Furthermore, the states welcomed the EU-US agreement to defer a decision on US tariffs on European steel and aluminium until late 2025. Advocating for continued constructive dialogue between the European Union and the United States, the steelmaking states urged for the eventual elimination of US Section 232 tariffs.
The alliance’s support for the GASSA initiative underscores the industry’s commitment to fostering sustainable practices while addressing the challenges posed by global overcapacity and unfair trade practices.
