Metal wire
Five questions to M. Giese (Drahtwerk Wagener) on the new EU steel trade protection measures
The European Union has recently introduced a new framework of trade protection measures for steel imports. We asked Markus Giese, CEO of Drahtwerk Wagener, for his perspective on the new regulations and their implications for the European steel industry.
The EU has introduced a new trade protection framework for steel imports. Why was this necessary?
The new framework is designed to provide stronger protection for the European steel industry and downstream steel-processing sectors than the previous safeguard regime. It responds to growing global competitive pressures caused by substantial overcapacity in steel production, particularly in China, India, and Türkiye.
At the same time, European producers are facing major structural challenges, including high energy prices, rising labor costs, increasing administrative burdens, the cost of CO₂ emission allowances, and the investments required to achieve climate-neutral steel production. Geopolitical developments have also significantly changed international trade flows.
Drahtwerk Wagener has always operated in international markets. How do you view trade protection measures?
We fundamentally believe in free markets. Open markets and fair competition have driven innovation, sustainable growth, and prosperity around the world. Trade restrictions are never the preferred solution, especially for export-oriented economies.
However, when competition is no longer genuinely fair because of structural market distortions, temporary trade defense measures can become necessary. They provide companies with valuable time to invest, innovate, restructure, and strengthen their competitiveness.
What should European steel companies do during this period of protection?
The industry should see this as an opportunity rather than simply as protection. Companies should use this temporary window to improve productivity, invest in new technologies, and reinforce their technological leadership. The objective must be to emerge stronger and more competitive once these measures are no longer needed.
Is trade protection alone enough to secure the future of European industry?
No, trade defense measures must be accompanied by broader political action. Europe needs significantly lower energy costs, less administrative complexity, stable and predictable regulatory frameworks, and stronger support for innovation and industrial investment. At the same time, entrepreneurship, industrial value creation, and skilled work should be actively encouraged.
Looking ahead, what is your vision for the European steel industry?
The current measures should remain temporary. If they are combined with meaningful structural reforms, they can help Europe strengthen its industrial base and restore its global competitiveness. The long-term objective should always be the return to open markets, free and fair international trade, and a level playing field for all market participants.
Our thanks to Markus Giese for sharing Drahtwerk Wagener's perspective on the evolving European steel market and the role that innovation and competitiveness will play in shaping its future.
