EU Foreign Subsidies


Massive state intervention and excess capacities in several global metals sectors risk disrupting the level playing field for European producers. In the absence of a reformed World Trade Organisation (WTO), it is difficult to find a global solution to this issue.

The European Commission has in May 2021 proposed a Regulation on foreign subsidies distorting the internal market.

Why it's important

Europe’s metals industry is threatened by massive state subsidization and global excess production, notably from China, which cause artificially depressed global prices.

The Commission’s instrument is an opportunity for the EU metals sector to address distortions caused by foreign subsidies of non EU-States in the EU internal market.

What we are seeking

The Commission’s proposal is a good basis to tackle unfair competition in the metals sector and contribute to ensuring a good level playing field for EU businesses. It should include:

  • clear definitions and a fully-established methodology for calculating the distortive effects of foreign subsidies
  • a detailed and powerful investigation mechanism, under the Commission’s responsibility
  • a set of effective sanctions to tackle distorting measures.

Elena Vyboldina

Trade and Economics Director

+322 775 63 15

Supporting Documents