EU Cuts South Korea's Duty-Free Steel Quota by 19.7% to 2.073 Million Tons on July 1

According to the Korean Steel Industry Association's statement on July 1, the EU allocated Korea a duty-free quota of 2.073 million tons for steel exports, down 19.7% from the previous 2.581 million tons. Excess shipments will face a 50% tariff, up from the previous 25%. Despite the reduction, Korean industry praised government negotiation efforts, as the cut was significantly smaller than reductions imposed on other major exporters: Switzerland saw a 67.5% cut, the UK 66.6%, and Ukraine 58.9%.

The concession followed a June 10 summit between South Korean and EU leaders, where Korea emphasized the importance of the steel quota and noted that Korean companies including Hyundai Motor and SK Innovation operate major production facilities in Europe, with imported steel supporting regional automotive, battery, and appliance manufacturing rather than displacing local output.