US Steel Tariffs Hit European Industry, German Producers Warn

The Organization for Economic Co-operation and Development (OECD) has identified President Donald Trump's aggressive tariff policies as a key factor contributing to a global economic slowdown, with the U.S. economy expected to grow at a significantly reduced rate. The tariffs have also severely impacted European industry, particularly Germany's steel sector, as the U.S. represents the largest export market for European steel outside the EU, accounting for about 20% of exports. German steel producer Salzgitter AG and other European steelmakers like Thyssenkrupp and ArcelorMittal have reported share price declines due to the U.S. decision to double steel and aluminum tariffs to 50%, effective June 4, 2025. These tariffs, combined with a surge of cheaper Asian steel flooding the European market, are intensifying pressure on the region’s steel industry. In response, the European Union has tightened steel import quotas under its Steel and Metals Action Plan to protect domestic producers from further market destabilization. Industry leaders have called on the EU Commission to accelerate protective measures to mitigate the negative effects of U.S. tariff policies and global trade tensions on European steel production and economic stability.