Thyssenkrupp Appeals to EU for Trade Protection Amid Asian Steel Surge

Thyssenkrupp urges EU action as surging low-cost steel imports threaten 1,200 jobs and specialized production of electrical steel in Europe.

The European steel sector is facing mounting pressure from a flood of imports, with industrial giant Thyssenkrupp now formally seeking intervention from Brussels. On April 1, Thyssenkrupp Steel Europe called on the European Commission to initiate a safeguard investigation into low-cost steel imports originating from Asia, highlighting a critical threat to a specialized segment of its business.

A Regulatory Gap Endangers Specialized Production

Central to the dispute is grain-oriented electrical steel, a high-grade material essential for manufacturing transformers and, by extension, for expanding power grids. This specific product category currently falls outside existing EU tariff quotas—a regulatory oversight that grants Asian competitors a significant pricing advantage. Since 2022, import volumes of this material have tripled, with a further 50% surge recorded in the last year alone.

The immediate operational impact is already clear. Thyssenkrupp has been forced to curtail output at its production facilities in Gelsenkirchen, Germany, and Isbergues, France. The company warns that approximately 1,200 jobs are at immediate risk, alongside Europe's technological standing in this crucial industrial segment, unless the EU acts swiftly.

Portfolio Restructuring Continues Unabated

Separately on April 1, Thyssenkrupp finalized the divestiture of its Automation Engineering business unit to Agile Robots SE. The unit will continue operating independently under the name "Krause Automation," positioning itself as a dedicated systems provider. This sale marks another strategic move by the conglomerate to sharpen its focus on high-growth areas.

Nevertheless, the steel division remains the most pressing concern. The future of production at the two threatened sites hinges largely on whether the European Commission launches the requested investigation and, subsequently, how rapidly any potential trade defense measures could be implemented. For Thyssenkrupp, the response from Brussels will be a decisive factor for its medium-term operational planning in this core business.