Exports to US plunge 34% after tariff hike – Firstpost

European steel exports to the United States have fallen sharply, dropping 34 per cent after Washington raised import tariffs to 50 per cent, according to the European steel industry association Eurofer.

The decline highlights growing strain on transatlantic trade ties, with higher duties on steel and steel-intensive derivative products such as washing machines, motorbikes, refrigerators and rail components further weakening European shipments to the US market.

Exports fall to 1.94 million tons

Eurofer data shows, as reported by Reuters, that steel exports to the US fell to 1.94 million metric tons in the three quarters following the tariff hike by the Trump administration, which doubled import duties on steel and aluminium from 25 per cent to 50 per cent.

The association said the tariff escalation has significantly disrupted trade flows, particularly as derivative products containing steel content have also come under higher duties.

Multi-year decline in shipments

The broader trajectory points to a sustained erosion in EU steel exports to the US over recent years. Shipments stood at 3.4 million tonnes in 2025, down from 4.1 million tonnes in 2024, and have fallen sharply compared to 4.7 million tonnes in 2017.

The figures underline a steady decline in Europe’s access to one of its key export markets, amid repeated tariff actions and policy uncertainty.

Trade deal under pressure

The latest downturn comes despite a broader trade framework agreed between the European Union and the United States in July last year.

The agreement, reached during a meeting at President Donald Trump’s Turnberry golf course in Scotland, set out reciprocal commitments, including EU tariff reductions on most US goods in exchange for a broad 15 per cent US tariff on EU exports.

It also included provisions for discussions on tariff-free quotas for steel and aluminium, along with cooperation to address global overcapacity in the sector.

Wider tariff net adds pressure

EU exporters have also been affected by US tariffs on so-called “derivative” products, where steel content was initially subjected to a 50 per cent duty. The scope of these tariffs was later expanded, further tightening conditions for European manufacturers.

While Washington has recently adjusted some tariff lines—reducing duties on certain products to 15 per cent for the EU—key categories such as refrigerators, lawn mowers and rail components continue to face tariffs of up to 25 per cent.

Eurofer urges full implementation of commitments

Axel Eggert, director general of Eurofer, said the United States must fulfil its commitment to work with the EU on a longer-term solution for the steel sector.

Eurofer has stressed that the agreed trade framework must be fully implemented to stabilise trade flows and prevent further disruption in the sector.

The association has also indicated that the European Union could consider suspending certain concessions if US tariffs are not brought down to the agreed 15 per cent level by the end of the year, raising the prospect of renewed trade friction between the two sides.