5 big analyst AI moves: Apple lifted to Buy, AI chip bets reassessed
Investing.com -- SSAB stock jumped 10% on Wednesday after news emerged that the European Commission is planning to significantly reduce steel import quotas and increase tariffs, a move that could benefit European steelmakers.
According to a source briefed on the details, the Commission will propose cutting steel import quotas by nearly half while raising duties on volumes exceeding those quotas to 50%. These measures would align with similar tariffs already imposed by the United States and Canada.
The protective measures are part of a new package for the steel sector that the Commission plans to officially unveil on October 7. The initiative falls under the purview of Stephane Sejourne, the Commission’s executive vice president for industrial strategy.
European steel producers like SSAB have been facing challenges from cheaper imports, and these proposed trade barriers could significantly improve their competitive position in the European market. By restricting the volume of steel imports and imposing higher tariffs on excess volumes, the measures aim to protect domestic producers from foreign competition.
The news comes at a time when steel manufacturers globally have been grappling with overcapacity issues and price pressures. For SSAB, which has major operations across Europe, these protective measures could potentially lead to improved pricing power and market share in its home region.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.