The new implementing acts
On the basis of the implementing powers vested in the European Commission under the measure, the first implementing acts that operationalize the measure have already been adopted. Particularly:
- The Commission Implementing Regulation (EU) 2026/1457 on the distribution of tariff quotas opened under the Steel Overcapacity Regulation. This Implementing Regulation applies from the 1st of July 2026 onwards and distributes the tariff-free 18.3 million yearly quotas to third countries, specifically offering preferential treatment to EU partners covered under Free Trade Agreements (FTA).
- The Commission Implementing Regulation (EU) 2026/1930 on the implementation of bilateral safeguard measures on imports of steel products covered by the Stee Overcapacity Regulation and originating in EU FTA partners. This Implementing Regulation covers FTA partners such as Albania, Israel, Jordan, Morocco, North Macedonia, Serbia, Switzerland, Tunisia and Turkey.
- The Commission Implementing Regulation (EU) 2026/1963 on determining the type of evidence to be provided by importers to prove the country where the imported steel was melted and poured. This Implementing Regulation, which is applicable from the 1st of October 2026, stipulates that steel importers shall provide a Mill Test Certificate, at the time of import into the EU, which shall include the country of “melt and pour” and the heat number of the imported steel. However, if the Mill Test Certificate is inadequate, or it cannot be provided at all, for the purpose of specifying the “country of melt and pour” and proving the heat number, the Implementing Regulation provides for the consideration of complementary or standalone evidence (e.g., invoices, delivery notes, quality certificates, suppliers’ declarations, etc.), as the case might be, by the customs authorities of the Member States.
Issues to be determined in the future and business readiness
Admittedly, many issues under the measure have been left to be determined in the future by means of non-legislative acts (i.e., either delegated or implementing acts), including the carry-over of unused quotas, the amendment of the total volumes of tariff quotas, the application of further bilateral safeguards, etc.
In that regard, it is necessary for businesses operating across the steel supply chain to show readiness, monitor regulatory developments in a timely manner, and assess potential impacts. By way of illustration, businesses should be able to identify whether their imported steel portfolio falls within the scope of the measure, ensure that required documentation (Mill Test Certificates or other evidence) is available, and review contractual commitments with steel suppliers from third countries.
Conclusion
Overall, it is certain that the imposition of an out-of-quota tariff of 50%, combined with the reduction of tariff-free quotas, raises a high bar for steel exporters targeting the EU market. The Steel Overcapacity Regulation constitutes a paradigm shift for the EU steel market and fundamentally alters the conditions for various actors across the steel supply chain – producers, users, third country exporters to the EU – implying both opportunities and challenges.
