The CEOs of the EU steel industry & EUROFER have written an open letter to the European Parliament and the member states regarding changes to the EU’s emissions trading system which the association states will derail the transition to green steel production in Europe. They claim that European legislators are now considering proposals on the EU’s ETS, and the Carbon Border Adjustment Mechanism, reducing the main CO2 benchmark by around 40% undermining European steel maker’s capacity to invest in green steel projects and derails the transition to green steel production in Europe. They have called on the European Parliament and council to immediately address its concerns by avoiding further scaling back existing carbon-leakage protection until the CBAM has proven its effectiveness and a solution for exports is in place & preventing a sharp decrease in free allocation for existing steel plants which would result from a modification of the benchmark scope.The letter says “The proposals weaken carbon-leakage protection of our industry in the domestic and global markets, favouring international competitors which are not subject to equivalent carbon costs. In Europe, new allocation rules will suddenly reduce the main CO2 benchmark by around 40%, because of one plant that was previously not in the scope, and set a value which no company can achieve in just three years. This is due to a premature transition from the free allocation and indirect cost compensation system to a CBAM which has not yet been tested. Circumvention and resource shuffling are only a few of the many risks that could undermine the CBAM’s effectiveness. Moreover, the CBAM does not yet foresee any measure to preserve the EU’s 20 million tonne of steel exports per year, worth EUR 45 billion, and the 30,000 jobs that are directly dependent on these.”They have called on the European Parliament and Council to immediately address these concerns and in particular to1. Avoid further scaling back existing carbon-leakage protection until the CBAM has proven its effectiveness and a solution for exports is in place2. Prevent a sharp decrease in free allocation for existing steel plants which would result from a modification of the benchmark scope. Instead, low-carbon technologies must be rewarded without reducing prematurely benchmark values, at least in the first years when such technologies are introduced at an industrial scaleThe CEOs of Eu Steel Industry & EUROFERGeert Van Poelvoorde, CEO, ArcelorMittal EuropeBernhard Osburg, CEO, thyssenkrupp Steel Europe AGHenrik Adam, Chairman of the Board, Tata Steel Netherlands HoldingFrancesc Rubiralta Rubio, Chairman and CEO, CELSA GroupOlavi Huhtala, CEO, SSAB EuropeMario Caldonazzo, CEO, ArvediHubert Zajicek, CEO, voestalpine Steel Division Lorenzo Riva, CEO, Riva Group Gunnar Groebler, CEO, Salzgitter AGTimoteo Di Maulo, CEO, AperamKarl-Ulrich Köhler, Chairman of the Board, SHS-Stahl-Holding-Saar Gmbh &Co Ajay Aggarwal, President of the Board, Liberty Galati Heikki Malinen, President and CEO, Outokumpu OyjJan Czudek, CEO, Třinecké železárnyBernardo Velázquez Herreros, President, UNESID – Spanish Steel Association Carlos Gil Robles, Administrator, MegasaHans Jürgen Kerkhoff, President, Wirtschaftsvereinigung StahlJames E. Bruno, President, US Steel KošiceZlatislav Ivkov, General Manager, Stomana Industry S.A.Markus Ritter, CEO, Marienhütte Stahl & Walzwerk GmbHGeorge Michos, CEO, Sidenor GroupVasileios Goumas, CEO, Hellenic Halyvourgia Markus Menges and Florian Glück, Managing Directors, Badische Stahlwerke GmbHRadek Strouhal, CEO, Vítkovice SteelGiuseppe Pasini, President, Feralpi GroupClaudio Riva, President, Riva AcciaioAlessandro Banzato, CEO, Acciaierie VeneteAntonio Marcegaglia, President and CEO, Marcegaglia SteelGiuseppe Lucchini, President, Lucchini RsMichele Della Briotta, President Europe, TenarisKlaus Enwald, CEO, Ovako Imatra Oy Ab Alexander Becker, CEO, GMH GruppeFrancisco Irazusta, Executive Chairman, Tubos Reunidos SANicos Georgakellos, President, ENXE – Hellenic Steelmakers UnionIonel Bors, President, UniRomSider – Romanian Steel Producers’ UnionStefan Dzienniak, President of the board, HIPH – Polish Steel AssociationRoman Stiftner, Managing Director, Austrian Mining and Steel AssociationIvan Jurkošek, General Manager, Štore SteelAnnika Roos, Managing Director, JernkontoretKimmo Järvinen, Managing Director, MetallinjalostajatPhilippe Coigné, Director General, Groupement de la SidérurgieBruno Jacquemin, Délégué Général, A3MDaniel Urban, Chairman, Ocelářská unieAnton Petrov, Chairman of the Board, Bulgarian Association of the Metallurgical IndustryCaterina Epis, Institutional Relations Director, TenarisIanc Petru, Executive Manager, UNITUB – General Union of Romanian Tubes ProducersMichel Tellier, CEO, Reinosa Forgings & CastingsTimo Rautalahti, CEO, Boliden HarjavaltaKlaus Peters, Secretary General, ESTEP – European Steel Technology PlatformAxel Eggert, Director General, The European Steel Association EUROFER
The CEOs of the EU steel industry & EUROFER have written an open letter to the European Parliament and the member states regarding changes to the EU’s emissions trading system which the association states will derail the transition to green steel production in Europe. They claim that European legislators are now considering proposals on the EU’s ETS, and the Carbon Border Adjustment Mechanism, reducing the main CO2 benchmark by around 40% undermining European steel maker’s capacity to invest in green steel projects and derails the transition to green steel production in Europe. They have called on the European Parliament and council to immediately address its concerns by avoiding further scaling back existing carbon-leakage protection until the CBAM has proven its effectiveness and a solution for exports is in place & preventing a sharp decrease in free allocation for existing steel plants which would result from a modification of the benchmark scope.The letter says “The proposals weaken carbon-leakage protection of our industry in the domestic and global markets, favouring international competitors which are not subject to equivalent carbon costs. In Europe, new allocation rules will suddenly reduce the main CO2 benchmark by around 40%, because of one plant that was previously not in the scope, and set a value which no company can achieve in just three years. This is due to a premature transition from the free allocation and indirect cost compensation system to a CBAM which has not yet been tested. Circumvention and resource shuffling are only a few of the many risks that could undermine the CBAM’s effectiveness. Moreover, the CBAM does not yet foresee any measure to preserve the EU’s 20 million tonne of steel exports per year, worth EUR 45 billion, and the 30,000 jobs that are directly dependent on these.”They have called on the European Parliament and Council to immediately address these concerns and in particular to1. Avoid further scaling back existing carbon-leakage protection until the CBAM has proven its effectiveness and a solution for exports is in place2. Prevent a sharp decrease in free allocation for existing steel plants which would result from a modification of the benchmark scope. Instead, low-carbon technologies must be rewarded without reducing prematurely benchmark values, at least in the first years when such technologies are introduced at an industrial scaleThe CEOs of Eu Steel Industry & EUROFERGeert Van Poelvoorde, CEO, ArcelorMittal EuropeBernhard Osburg, CEO, thyssenkrupp Steel Europe AGHenrik Adam, Chairman of the Board, Tata Steel Netherlands HoldingFrancesc Rubiralta Rubio, Chairman and CEO, CELSA GroupOlavi Huhtala, CEO, SSAB EuropeMario Caldonazzo, CEO, ArvediHubert Zajicek, CEO, voestalpine Steel Division Lorenzo Riva, CEO, Riva Group Gunnar Groebler, CEO, Salzgitter AGTimoteo Di Maulo, CEO, AperamKarl-Ulrich Köhler, Chairman of the Board, SHS-Stahl-Holding-Saar Gmbh &Co Ajay Aggarwal, President of the Board, Liberty Galati Heikki Malinen, President and CEO, Outokumpu OyjJan Czudek, CEO, Třinecké železárnyBernardo Velázquez Herreros, President, UNESID – Spanish Steel Association Carlos Gil Robles, Administrator, MegasaHans Jürgen Kerkhoff, President, Wirtschaftsvereinigung StahlJames E. Bruno, President, US Steel KošiceZlatislav Ivkov, General Manager, Stomana Industry S.A.Markus Ritter, CEO, Marienhütte Stahl & Walzwerk GmbHGeorge Michos, CEO, Sidenor GroupVasileios Goumas, CEO, Hellenic Halyvourgia Markus Menges and Florian Glück, Managing Directors, Badische Stahlwerke GmbHRadek Strouhal, CEO, Vítkovice SteelGiuseppe Pasini, President, Feralpi GroupClaudio Riva, President, Riva AcciaioAlessandro Banzato, CEO, Acciaierie VeneteAntonio Marcegaglia, President and CEO, Marcegaglia SteelGiuseppe Lucchini, President, Lucchini RsMichele Della Briotta, President Europe, TenarisKlaus Enwald, CEO, Ovako Imatra Oy Ab Alexander Becker, CEO, GMH GruppeFrancisco Irazusta, Executive Chairman, Tubos Reunidos SANicos Georgakellos, President, ENXE – Hellenic Steelmakers UnionIonel Bors, President, UniRomSider – Romanian Steel Producers’ UnionStefan Dzienniak, President of the board, HIPH – Polish Steel AssociationRoman Stiftner, Managing Director, Austrian Mining and Steel AssociationIvan Jurkošek, General Manager, Štore SteelAnnika Roos, Managing Director, JernkontoretKimmo Järvinen, Managing Director, MetallinjalostajatPhilippe Coigné, Director General, Groupement de la SidérurgieBruno Jacquemin, Délégué Général, A3MDaniel Urban, Chairman, Ocelářská unieAnton Petrov, Chairman of the Board, Bulgarian Association of the Metallurgical IndustryCaterina Epis, Institutional Relations Director, TenarisIanc Petru, Executive Manager, UNITUB – General Union of Romanian Tubes ProducersMichel Tellier, CEO, Reinosa Forgings & CastingsTimo Rautalahti, CEO, Boliden HarjavaltaKlaus Peters, Secretary General, ESTEP – European Steel Technology PlatformAxel Eggert, Director General, The European Steel Association EUROFER
