There are warnings that the EU's protectionist policies might mirror US strategies, risking negative impacts on the global economy and possibly harming the EU's steel exports to the US.

China's steel exports to the EU are relatively modest, but the EU's proposed protectionist measures have raised concerns about a broader trend that could affect all trade partners, not just China.

The EU's move to tighten steel import controls, including reducing the quota and doubling tariffs on out-of-quota steel, signals a shift towards protectionism, which has sparked criticism from the China Chamber of Commerce to the EU.

The legislative approval of the proposal remains uncertain, with some experts hoping it might fail to prevent further trade restrictions within the EU.

Last year, China was the largest supplier of steel and iron articles to the EU, accounting for 37.3% of imports, with imports from China, India, and Turkey surging since 2019, raising dependency concerns.

The European Commission's plan includes capping tariff-free steel imports at 18.3 million metric tons annually, a 47% reduction from previous quotas, and doubling tariffs on excess steel to 50%, as part of efforts to protect the EU steel industry.

Despite its traditional support for free trade, the EU's new measures have raised concerns about a protectionist shift, potentially responding to trade deficits and economic pressures.

Experts like Jian Junbo suggest that the EU's measures are aimed at all trade partners, not just China, reflecting a broader protectionist stance that could pressure other economies amid global economic turbulence.

The EU plans to introduce Melt and Pour rules to improve traceability and prevent circumvention in steel markets, indicating a move towards increased protectionism.

The China Chamber of Commerce to the EU has criticized the protectionist measures, warning they contradict the EU's commitment to free trade and urging impact assessments to prevent harm to global economic stability.