Indonesia plans safeguards as EU and UK impose 50% steel tariffs
Indonesia's Trade Ministry is devising contingency measures to offset the newly introduced 50% tariffs on its steel exports by the EU and the UK.
Indonesia's Trade Ministry announced plans to mitigate the impact of 50% tariffs recently levied by the European Union and the United Kingdom on Indonesian steel. Dina Kurniasari, director of WTO negotiations, said the measures could erode price competitiveness and limit market access in Europe. A study by the Trade Policy Agency identified three primary risks: higher export prices, stricter import quotas and the EU's Carbon Border Adjustment Mechanism.
The ministry emphasized adherence to multilateral trade rules while exploring diplomatic avenues. It is also formulating contingency strategies to protect the local industry. The move comes as the Indonesian Iron and Steel Industry Association reports a combined production capacity of 18 million tonnes and projected steel imports of about 8 million tonnes for 2024-2025.
Why it matters
The tariffs could raise prices for Indonesian steel abroad, affecting exporters and potentially reshaping global steel trade flows.
In this story
Related stories
8 in this thread