EU-US GLOBAL AGREEMENT ON STEEL AND ALUMINIUM
On 31 October, the European Commission President von der Leyen and United States President Biden agreed to start discussions on a Global Arrangement on Sustainable Steel and Aluminium, marking a new milestone in the transatlantic relationship. As a part of that partnership, they intend to negotiate for the first time, a global arrangement to address carbon intensity and global overcapacity.
The global arrangement reflects a joint commitment to use trade policy to confront the threats of climate change and global market distortions. The global arrangement will be open to any interested country that shares the commitment to achieving the goals of restoring market-orientation and reducing trade in carbon intensive steel and aluminium products. The agreement builds on recent successes in rebooting the transatlantic trade relationship, such as the launch of the EU-US Trade and Technology Council and the suspension of tariffs in the Boeing-Airbus disputes.
Furthermore, following the US announcement that they will remove tariffs on EU steel and aluminium exports up to past trade volumes, the EU will take the steps to suspend its rebalancing measures against the US. The two sides also agreed to pause their respective WTO disputes on this issue.
Source: European Commission