Monday, May 6, 2024

Vogon Today

Selected News from the Galaxy

StartMag

Here are the effects of the EU stakes (also wanted by Italy) on steel imports

3 years ago babelfish

Here are the effects of the EU stakes (also wanted by Italy) on steel imports

Over half a million tons of steel are blocked at the ports of Ravenna and Marghera: this is a risk for economic recovery. Here are causes, comments and scenarios

Last June, the European Union decided to extend the system of maximum quotas and tariffs on steel imports for another three years.

THE SYSTEM OF QUOTAS AND DUTIES

This is a measure in force since 2018 designed to protect European producers from the influx of steel from abroad, after the 25 percent tariffs imposed by the United States on the alloy in question effectively closed the American market to many. exporters, who have turned elsewhere.

The main steel exporters in Europe are China, India, Russia, South Korea, Turkey and Ukraine.

THE DEMAND OF ITALY

A group of twelve member countries of the Union had asked the European Commission last January to extend the system beyond the expiry date of 30 June: among these was Italy, as well as France and Germany.

THE PROBLEMS IN RAVENNA AND MARGHERA

The undesirable effect of this steel import control mechanism was the congestion situation in the Italian ports of Ravenna and Marghera, where over half a million tons of steel are blocked. These two ports pass 70 percent of steel imports by sea destined for the Italian market, writes The MediTelegraph .

THE CONSEQUENCES

The inability to unload the steel translates into waiting times that cost up to $ 40,000 per day per ship. To avoid them, some shipowners may decide to head to other ports such as those of Trieste and Koper, in Slovenia, which however are not fully equipped to handle this surplus of material.

UNLOCKING FROM OCTOBER?

The situation is likely to remain critical until 1 October, when the new import quotas come into effect. But the extent of the material waiting in the ports – explained the analyst Gianclaudio Torlizzi, founder of T-Commodity – is such that the community thresholds could be reached after a few days.

So, to allow the entry of steel into Italy it will be necessary to pay a duty of about 15 percent: it is not a small thing, wrote Torlizzi, because a ton of stainless steel costs around 4 thousand euros. With repercussions that could be discharged downstream of the supply chain, on companies and final consumers.

THE COMMENT OF ANCE

Gabriele Buia, president of Ance (National Association of Building Builders), said that there is a "real risk that the works of the PNRR and the private interventions relating to the Superbonus will not arrive on time" due to the shortage of steel, "transforming into the current economic recovery is a flash in the pan ”.

Buia proposed a suspension of the restrictions on the import of steel, so as to guarantee "the continuation of the recovery of economic activities".

THE COMMENT OF MASSOLO (FINCANTIERI)

An article in La Verità signed by Torlizzi reports the comment by Giampiero Massolo, president of Fincantieri and ISPI, according to which "for a country like ours that has the ability to transform raw materials and create added value one of the strengths of its economic system, it is crucial that both the flow and the costs of commodities have reasonable margins of predictability ". "Taking into account", he continues, "also the risk that restrictive measures on international trade could jeopardize the results of the post-Covid recovery plans adopted by member states at this stage".

This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/energia/importazioni-acciaio-ravenna-marghera-cosa-succede/ on Wed, 08 Sep 2021 08:32:21 +0000.