The European Commission (EC) has announced a Steel and Metals Action Plan to enhance the industry's competitiveness and address challenges such as high energy costs, unfair global competition, and pressure to reduce emissions.

The plan includes easing restrictions on energy access, lowering network charges and energy taxes, facilitating Power Purchase Agreements (PPAs), accelerating permitting, expanding grid modernization, and incentivizing flexibility in the electricity system.

The EC will strengthen the Carbon Border Adjustment Mechanism (CBAM), extend it to some downstream products, and solve the problem of carbon leakage risks for exported goods.

In addition, the EC plans to strengthen the current trade protection measures, promote the circular economy, and increase the use of recycled steel and aluminum.

Henrik Adam, President of the European Steel Association (EUROFER), welcomed the plan but stressed that high energy prices remain a major challenge for the steel industry and called for further energy cost reductions to maintain the competitiveness of the European steel industry.