New carbon measure will raise steel production costs to damaging extent, Eurofer warns

European steel association Eurofer is concerned that the EU’s Carbon Border Adjustment Mechanism (CBAM) will result in a substantial rise in the costs of steel production, it said on Friday February 5.

The European Parliament’s environment committee (ENVI) voted on Friday in favour of adopting the CBAM by a margin of 58 votes for, 8 against and 10 abstentions, Eurofer said. “The consequences of the ENVI vote will be a death sentence for the European steel sector,” Eurofer said. “We urge the parliament to rethink this during the plenary stage, because CBAM is not a substitute for free allocation [of carbon permits] under the EU [Emissions Trading system] – it is a necessary complement.” The result of the ENVI vote includes a compromise amendment that calls for the rapid phasing-out of...

Published

Maria Tanatar

February 08, 2021

19:00 GMT

London