Issue 46, 2023 - This week's editorial: Europe and US far from trade dispute resolve, risk decarbonisation path

The EU is pushing the US for a “noticeable improvement” in its management of tariff-rate quotas (TRQs), which the EU considers “rigid”, European Commission vice president Valdis Dombrovskis said on Monday referring to the progress made in Global Arrangement on Sustainable Steel and Aluminium (GASSA) negotiations.

The comments came following an EU Trade Council meeting, the outcome of which European steelmakers’ association Eurofer criticised for showing there is still a gulf between the EU and US positions.

The two sides failed to reach a deal on GASSA in time for the EU-US summit in Washington last month and subsequently extended the deadline for negotiations till year-end.

The main stumbling block was the “unwillingness of the US side to provide a clear pathway towards definitely withdrawing the 232 tariff-rate quotas which the US is currently imposing on EU exports,” Dombrovskis commented during Monday’s press conference.

While negotiations continue, the sides “need to manage the situation” approaching on 1 January, which would see US Section 232 tariffs and EU retaliatory measures come back into force if no agreement is reached.

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