US and EU strike metals pact to take on China’s ‘steel dumping’
- US President Joe Biden says agreement will restrict market access for ‘dirty steel, from countries like China’
- ‘Melt-and-pour’ mechanism to ensure supplies are clearly labelled throughout the production cycle, US official says
On the sidelines of the Group of 20 summit in Rome, Biden said the agreement was aimed at “countries that dump steel on our markets, hammering our workers and harming them badly, both the industry and the environment”.
EU commissioner for trade Valdis Dombrovskis said the intention was to “invite like-minded economies to participate in this arrangement and to work towards the shared goals of addressing global overcapacity, in the steel and aluminium sectors”.
“We hope to restrict market access for non-participants who do not meet conditions for market orientation or do not meet the standards for low-carbon intensity products,” Dombrovskis said. “But we will do this compatible with our international obligations and multilateral groups.”
An EU official involved in developing the plan said it was aimed at eliminating “market distortions” caused by issues such as state subsidies in the sector.