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Dáil

Written answer

EU Regulations

50. Deputy Eamon Scanlon asked the Minister for Foreign Affairs and Trade the estimated impact on Irish manufacturers of the EU Steel Overcapacity Regulation introduced on 1 July 2026; the number of engagements her Department has had with affected sectors; and if she will make a statement on the matter. [60786/26]

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71. Deputy Eamon Scanlon asked the Minister for Foreign Affairs and Trade the steps being taken to address the impact of the EU's revised steel safeguard measures on Irish manufacturers, particularly the application of 50% duties on steel imports from the UK (details supplied); the assessment made of the effect of quota reductions and tariff uncertainty on business competitiveness; if the Government has raised concerns with the European Commission regarding firms importing steel of EU origin via UK suppliers and distribution hubs; and if she will make a statement on the matter. [62769/26]

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Helen McEntee Minister for Foreign Affairs and Trade Fine Gael

I propose to take Questions Nos. 50 and 71 together.

To protect the EU steelmaking sector against global overcapacity, the EU has agreed a new trade measure, the Steel Overcapacity Regulation, to replace the previous EU steel safeguards which had been in place since July 2018 and were required to expire at the end of June 2026.

This new EU trade measure aims to restore fair competition in a market affected by significant distortions linked to overcapacity, defend jobs in EU steel production, and give European steelmakers the necessary economic breathing space to invest in cleaner, more innovative steel production in the EU. Importantly, it takes into account the different interests of EU steel producers, steel users, importers and downstream industry, and the EU’s international trade obligations.

The Steel Overcapacity Regulation entered into force on 1 July 2026. It sets tariff-free quotas at 18.3 million tonnes per year, a reduction of 47% compared to quotas under the previous EU steel safeguards, and introduces an out-of-quota duty of 50% for 26 categories of steel products imported into the EU. As part of this new measure, the European Commission has been engaging intensively with trading partners concerning the implications for their country-specific quota allocations. The approach includes preferential arrangements for Free Trade Agreement partners.

The Department of Foreign Affairs and Trade engaged extensively with key stakeholders, including relevant Government Departments, state agencies, and industry associations in Ireland in relation to this new measure.

Furthermore, I and other Government Ministers and officials were in repeated contact with the European Commission and with other EU Member States, as well as representatives of third countries affected by the measures, across the entire legislative procedure, including numerous working party and technical meetings, trilogue negotiations and Council discussions. The concerns of the Irish downstream industry and steel importers were a key aspect of these discussions.

It is worth noting that the EU’s new steel measure retains specific quotas for certain steel products originating in the UK and brought into Northern Ireland. This was an important arrangement under the Windsor Framework in the previous EU steel safeguards regime, and one that the Irish Government raised repeatedly with the Commission throughout the negotiation of the new steel measure.

The Department of Foreign Affairs and Trade continues to engage with stakeholders in this area to assess the impacts of this measure as it is implemented, and to ensure that any implementation issues are brought to the attention of the European Commission.

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