BIR Urges Balanced EU Approach on New Steel Safeguards

BIR urges the EU to prioritise demand for recycled steel over trade barriers amid new regulatory proposals.

The Bureau of International Recycling (BIR) has responded to the European Commission’s proposed regulation (COM(2025) 726) aimed at protecting the EU steel sector from global overcapacity, stressing the need for a balanced approach that supports both industrial competitiveness and circular economy goals.

The Bureau of International Recycling (BIR), representing the global recycling industry, has acknowledged the European Commission’s latest proposal to regulate imports and strengthen protections for the EU steel industry. The draft regulation seeks to address the ongoing challenge of global steel overcapacity through new trade measures and enhanced traceability.

Under the proposed framework, the tariff-free import quota for steel would be reduced to 18.3 million tonnes annually — a 47% decrease compared to 2024 levels. Additionally, out-of-quota duties would be doubled to 50%, while a new “Melt and Pour” traceability requirement would be introduced to prevent circumvention of EU trade rules.

If adopted by the European Parliament and the Council, the new regulation will replace the current EU steel safeguard mechanism, set to expire in June 2026.

Although the current proposal does not include direct export restrictions on metal scrap, it introduces a new monitoring regime, which BIR warns could pave the way for future trade limitations. The association expressed concern that restricting exports of secondary raw materials could weaken Europe’s recycling industry and undermine the EU’s circular economy ambitions.

“Recycled materials are vital to decarbonising the metals industry and should be recognised as strategic resources in the circular economy,” said Alev Somer, BIR’s Environment and Trade Director. “Empowering recyclers with free trade – not constraining them – is key to delivering both climate goals and industrial competitiveness.”

BIR further emphasised that the EU’s policy direction should focus on stimulating domestic demand for recycled steel through measures such as recycled content targets, green public procurement, and financial incentives, rather than imposing restrictive trade barriers.

The organisation reiterated its commitment to working collaboratively with EU institutions to ensure that recycling continues to play a central role in achieving Europe’s net-zero and circular economy objectives.