The Federal Association of German Steel Recycling and Disposal Companies (BDSV) and the Association of German Metal Traders and Recyclers (VDM) have cautioned against proposals to restrict exports of recycled steel, arguing that such measures would harm both the European steel industry and global climate goals.
The warning follows a new study commissioned by the two associations and conducted by the Ernst Abbe University of Applied Sciences in Jena, Germany. The study, released in response to discussions within the European Action Plan for Steel and Metals (SMAP), concludes that export bans or barriers would distort markets, provoke retaliatory measures, and undermine Europe’s supply security, without strengthening the EU’s steel sector.
Researchers noted that recycled steel is not in short supply, with Europe’s net exports reflecting reduced domestic demand caused largely by high energy costs faced by steel mills. Europe also continues to rely on imports of certain recycled materials, such as stainless steel scrap. The study highlighted that future challenges are more likely to concern quality rather than quantity.
The findings further warn that restricting exports could have unintended consequences, including reduced global scrap use, increased CO2 emissions, and restricted access to essential imports.
BDSV Managing Director Guido Lipinski stressed that Europe’s recycling industry is globally competitive and that export restrictions would erode this competitiveness without benefiting European consumers. Julia Ettinger, secretary-general of the European Recycling Industries Confederation (EuRIC), echoed this view, urging the EU to pursue “real solutions, reducing energy costs and investing in high-quality recycling, instead of turning to protectionism.”
Based on the study, BDSV and VDM recommend that EU policies focus on lowering energy costs and accelerating investments in sorting, presorting, and recycling technologies to enhance quality, rather than imposing restrictive trade measures.
POLICY & LAW | Taiwan Plans to End Import Restrictions on Japanese Food
