EU backs tariff-free Ukrainian steel despite pressure

The ArcelorMittal-owned steelworks in Kryvyi Rih have survived war and crises in the past. But since Russia attacked Ukraine, it has been starved of power, personnel and customers. Photo: ArcelorMittal
The ArcelorMittal-owned steelworks in Kryvyi Rih have survived war and crises in the past. But since Russia attacked Ukraine, it has been starved of power, personnel and customers. Photo: ArcelorMittal

As Ukraine’s war-torn economy struggles to stay afloat, the European Parliament has voted to extend its tariff-free access to the EU’s steel market. The decision, finalised just weeks before previous trade measures were set to expire, aims to keep Ukraine’s key industries alive while the conflict with Russia continues.

The current exemption was due to end on 5 June, potentially reintroducing tariffs on Ukrainian steel exports to the EU. However, with Parliament’s approval, those duties will remain suspended – at least for now.

Political tensions behind the scenes

The vote did not come without resistance. Several political voices within the EU, particularly in Poland, opposed the extension of tariff-free access. 

A proposal to delay the vote, which would have led to automatic reinstatement of tariffs, was ultimately rejected by Parliament. Instead, the majority chose to maintain the EU’s open trade stance towards Ukraine, signalling continued economic support as the war drags on.

More than just steel

While the vote focused specifically on steel are several lawmakers pushing for a broader and more permanent trade agreement with Ukraine. With the current measures now set to expire again in June, pressure is mounting for the EU to deliver a long-term deal.

Such an agreement would further integrate Ukraine into the EU’s internal market – a process that has gained urgency not only because of the war, but also as part of Ukraine’s long-term EU membership aspirations.

The European Parliament’s decision comes in contrast to recent moves in the United States. In May, the U.S. government announced new tariffs on Ukrainian steel products, citing domestic economic concerns.

That policy shift has drawn criticism from transatlantic allies, who see it as undermining support for Ukraine at a crucial moment.

Within the EU, however, the decision to maintain free trade appears to have gained traction, despite vocal opposition in some corners.

Source: EU-portal. European Parliament debate and vote records