Turkish exporters must take into account the EU trade adjustments

Turkish manufacturers began to remain vigilant and adapt to the EU trading landscape, which is developing rapidly and striving to achieve stability and honest competition. This includes new carbon emissions, developing trading protection tools (TDI) and more stringent rules of origin, said Van Bael & Bellis, Fabrizio Di Dzhanni.

The purpose of the EU pure industrial agreement (CID) is an economically advantageous decarbonization, aimed at energy -intensive sectors, such as steel industry. The central element of this initiative is the mechanism for adjusting the boundary carbon emissions (CBAM), which will replace free quotas as part of the EU emissions (ETS) trading scheme since 2026.

CBAM will introduce carbon fees for imports to the EU, increasing the burrons of costs for carbon-like products, simultaneously pursuing practices such as product modification and “green PR” carbon emissions, Dzhanni said at the Yurometal and 10th Yisad Flat Steel conference in Istanbul.
It is expected that a full review of CBAM will be carried out in the second half of 2025, which can expand the sphere of action of the mechanism and facilitate the administrative burden for small and medium enterprises, which will still have more than 99% of the emissions.

CID also includes an action plan for steel and metals, concentrated on six pillars, including preventing carbon leak, innovation and competitiveness. Along with CBAM, the EU strengthens measures to protect trade, increasing supervision of the market and preparing for the beginning of the AD/CVD investigation, based on potential damage, and not on proven harm. Revision of a lesser duty rule is also on the table, which potentially allows you to increase tariffs, Dihanny noted.

In addition, protective measures were tightened, which significantly influenced Turkish export, especially in categories of products with a high level of exposure, such as 1A (hot rolled steel) and 5 (organic steel).

Among the most significant changes are the proposed changes in the rules of origin. Traditionally, the origin was determined on the basis of the last significant transformation of the product. However, now the EU is considering the transition to the “melted and spilled” mode, where the origin will be associated with the place of initial smelting.

For example, hot -rolled rolls of Chinese origin, processed into final goods in Turkey, can still be classified as Chinese for TDI purposes. This will undermine the traditional global chains of creating costs and create serious problems for Turkish steel processors, commented by Dihanny.

He also emphasized that the phased sanctions of the EU mean that steel