EU to Impose 25–50% Tariffs on Chinese Steel Imports – September 26, 2025 Update

EU Plans 25–50% Tariffs on Chinese Steel to Protect Local Industry

Brussels, September 26, 2025 — The European Union is preparing to impose steep import tariffs of between 25 and 50 percent on Chinese steel and related products in an effort to shield its domestic industry from what officials describe as unfair competition. The plan, first reported by the German business daily Handelsblatt and now corroborated by European Commission insiders, is expected to be formally announced within weeks. Although no official statement has yet been issued, officials in Brussels and Berlin say the move is part of a broader strategy as existing EU safeguard measures approach expiration in mid-2026.

Chinese steel exports have surged to near-record levels in 2025, creating a glut in global markets that has depressed prices and placed heavy pressure on European producers. With higher energy costs and stringent environmental regulations already weighing on local manufacturers, the European Commission views the tariff plan as necessary to level the playing field. Industry analysts note that the proposed duties could provide temporary relief for major steelmakers such as Thyssenkrupp and Salzgitter, which have been struggling against cheaper imports.

At the same time, economists caution that the new duties will almost certainly push up costs for sectors heavily dependent on steel, including construction, infrastructure, and automotive manufacturing. More expensive raw materials could ripple through the wider economy, raising consumer prices for cars, machinery, and building supplies. This tension reflects the EU’s challenge of protecting strategic industries while avoiding a broader inflationary effect.

China is expected to respond with countermeasures, which could squeeze European exporters in other sectors and escalate trade tensions. Legal disputes under World Trade Organization rules are also a possibility, adding further uncertainty to global trade flows. Already, commodity markets are reacting: iron-ore futures slipped on expectations of slower Chinese steel exports, while European steel stocks gained on hopes that protectionist support would bolster revenues.

Despite these risks, EU officials argue that action is essential to defend jobs and industrial capacity. They stress that the tariffs are designed as a defensive measure rather than an offensive trade weapon, emphasizing the need to secure the competitiveness of European steel in the face of systemic market distortions. Whether this policy will stabilize the sector or provoke broader economic consequences remains to be seen, but the decision underscores Europe’s determination to confront China over long-standing trade imbalances.

The coming weeks will be critical as the European Commission finalizes its proposal, member states weigh their positions, and Beijing signals its response. For now, the prospect of tariffs marks one of the most significant trade actions in recent years, setting the stage for a new chapter in EU-China economic relations and shaping the outlook for global steel markets well into 2026.