EU steel safeguard plan risks higher prices: auto makers

China

EU steel safeguard plan risks higher prices: auto makers

2025-10-09 12:20 Last Updated At：20:57

The European Automobile Manufacturers' Association (ACEA) said Wednesday that it is most concerned about the inflationary impact that an effective continuation of the European Commission's steel safeguard system will have on European market prices.

ACEA warned that changes to key safeguard parameters will significantly reduce the possibility of relieving pressure on the European market through imports.

In addition, a new rule of origin based on the "melt and pour" principle will further restrict imports and create a massive administrative burden for European users of imported steel products.

The commission needs to look individually at sectors such as automotive where, despite a heavy reliance on domestic steel supply, manufacturers still need to import certain quantities and qualities. Quotas for automotive grades have consistently been rapidly exhausted over the last seven years of the safeguard. The commission also needs to understand the complexity of applying the "melt and pour" rule of origin in deep and global supply chains such as automotive.

The European Commission unveiled a plan on Tuesday to protect the steel industry of the bloc, with measures including the dramatic lowering of tariff-free import quotas, the doubling of the out-of-quota tariff to 50 percent and a new rule of origin.

Chinese, Iranian FMs have phone conversation

China opposes the use or threat of force in international relations, opposes imposing one's own will on others, and opposes a return of the world to the "law of the jungle," Foreign Minister Wang Yi said during a phone conversation with Iranian Foreign Minister Seyed Abbas Araghchi on Thursday.

During the call, Araghchi briefed Wang on the latest developments in Iran, saying the recent unrest was incited by external forces and that the situation has now returned to stability.

Saying that Iran has made preparations to respond to external interference while keeping the door wide open to dialog, Araghchi expressed hope that China would play a greater role in promoting regional peace and stability.

Wang, also a member of the Political Bureau of the Communist Party of China Central Committee, said that China consistently upholds the purposes and principles of the UN Charter and international law, opposes the use or threat of force in international relations, opposes imposing one's own will on others, and opposes a return of the world to the "law of the jungle."

He said that the Chinese side believes the Iranian government and people will stay united, overcome difficulties, maintain national stability, and safeguard their legitimate rights and interests.

Wang also called on all parties to cherish peace, exercise restraint, and resolve differences through dialog, adding that China is willing to play a constructive role in this regard.