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Thursday, July 2, 2026

EU steel quota overhaul reshapes country-specific access for MENA exporters

The European Union’s revised steel safeguard quota system introduces significant changes to country-specific quota allocations for Middle East and North African (MENA) steel exporters, reducing quotas for some suppliers while establishing new country-specific quotas for others under the revised framework, which came into effect on 1 July 2026.

MESTEEL’s analysis shows that Turkey remains the largest beneficiary of the EU’s revised country-specific quota system, receiving approximately 2.86 mln tons of annual country-specific quotas across all covered steel product categories. Turkey is followed globally by South Korea (2.07 mln tons) and India (1.94 mln tons), underlining its continued importance as one of the European Union’s largest external steel suppliers despite reductions in several key product categories.

Combined, MENA exporters receive approximately 3.66 mln tons of annual country-specific quotas under the revised framework, with Turkey accounting for around 78pct of the region’s total allocation. Among the remaining regional exporters, Egypt receives approximately 670,690 tons, followed by Algeria (66,100 tons), Saudi Arabia (38,180 tons) and the United Arab Emirates (19,664 tons).

Table below compares the previous and revised annual country-specific quotas allocated to MENA steel exporters under the EU’s revised safeguard framework.

Category Product Country Previous Annual Quota (tons) New Annual Quota (tons) MFN FTA Change (tons) Change (%)
1.ANon Alloy and Other Alloy Hot Rolled Sheets and StripsTurkey1,597,798.85642,294.94321,749.25320,545.69-955,503.91-59.8%
1.ANon Alloy and Other Alloy Hot Rolled Sheets and StripsEgypt404,928.86202,843.81202,085.04
1.ANon Alloy and Other Alloy Hot Rolled Sheets and StripsSaudi Arabia38,180.3038,180.300.00
2Non Alloy and Other Alloy Cold Rolled SheetsTurkey240,611.63111,922.82128,688.82
2Non Alloy and Other Alloy Cold Rolled SheetsEgypt64,364.7329,946.3134,418.42
3.AElectrical SheetsTurkey3,899.541,598.812,300.73
4.AMetallic Coated SheetsTurkey255,700.82118,937.88136,762.94
4.AMetallic Coated SheetsEgypt74,034.9634,440.2739,594.69
4.BOrganic Coated SheetsTurkey104,080.3448,409.9855,670.36
4.BOrganic Coated SheetsEgypt7,520.943,498.974,021.97
5Organic Coated SheetsTurkey57,669.4633,607.8915,534.3118,073.58-24,061.57-41.7%
6Tin Mill ProductsTurkey81,152.6147,306.9521,869.4625,437.49-33,845.66-41.7%
7Quarto PlatesTurkey28,031.2912,264.7715,766.52
8Stainless Hot Rolled Sheets and StripsTurkey12,366.5210,192.704,711.465,481.24-2,173.82-17.6%
9Stainless Cold Rolled Sheets and StripsTurkey30,073.5620,236.879,356.9210,879.95-9,836.69-32.7%
12Merchant Bars and Light SectionsTurkey58,942.8443,004.8319,876.8623,127.97-15,938.01-27.0%
12Merchant Bars and Light SectionsEgypt18,860.9118,860.910.00
13Reinforcing BarsTurkey379,010.92239,676.45239,676.450.00-139,334.47-36.8%
13Reinforcing BarsEgypt144,367.97144,367.970.00
13Reinforcing BarsAlgeria63,761.4263,761.420.00
16Wire RodTurkey393,690.73244,589.42244,589.420.00-149,101.31-37.9%
16Wire RodEgypt11,612.0911,612.090.00
17Angles, Shapes and SectionsTurkey55,334.7439,648.7418,321.0421,327.70-15,686.00-28.3%
17Angles, Shapes and SectionsUnited Arab Emirates5,964.415,964.410.00
18Sheet PilingUnited Arab Emirates13,907.443,612.333,612.330.00-10,295.11-74.0%
19Railway MaterialTurkey4,823.912,807.771,298.601,509.17-2,016.14-41.8%
20Gas PipesTurkey16,451.9812,281.095,676.366,604.73-4,170.89-25.4%
20Gas PipesUnited Arab Emirates10,086.8610,086.860.00
21Hollow SectionsTurkey39,859.8126,970.1812,464.8014,505.38-12,889.63-32.3%
25.ALarge Welded TubesTurkey27,376.8917,589.368,128.279,461.09-9,787.53-35.8%
25.BLarge Welded TubesTurkey59,950.8143,742.6320,214.9423,527.69-16,208.18-27.0%
25.BLarge Welded TubesAlgeria2,338.992,338.990.00
26Other Welded PipesTurkey152,886.3689,813.0544,086.0845,726.98-63,073.31-41.3%
27Non-alloy and Other Alloy Cold Finished BarsTurkey28,180.3112,106.5016,073.81
28Non Alloy WireTurkey206,296.1396,941.1939,629.6157,311.57-109,354.94-53.0%

Turkey remains the dominant MENA supplier under the revised quota regime despite substantial reductions in several key product categories. The largest cut is recorded in Category 1A (Non-Alloy and Other Alloy Hot Rolled Sheets and Strips), where Turkey’s annual country-specific quota falls from approximately 1.60 mln tons under the previous regime to 642,295 tons, representing a reduction of nearly 60pct.

Further reductions are seen in long products. Turkey’s quota for Reinforcing Bars (Category 13) declines from 379,011 tons to 239,676 tons, while its allocation for Wire Rod (Category 16) falls from 393,691 tons to 244,589 tons. Despite these reductions, Turkey continues to hold the largest overall country-specific quota allocation under the revised safeguard framework.

The revised system also introduces new country-specific quotas for several products and broadens quota access for other MENA exporters. Turkey receives new country-specific quotas for Cold Rolled Sheets (Category 2), Electrical Sheets (Category 3A), Metallic Coated Sheets (Category 4A), Organic Coated Sheets (Category 4B), Quarto Plates (Category 7) and several downstream steel products. Elsewhere in the region, Egypt receives country-specific quotas across a range of flat and long steel products, while Saudi Arabia receives a new allocation for Hot Rolled Sheets and Strips (Category 1A). The United Arab Emirates receives country-specific quotas for Angles, Shapes and Sections (Category 17) and Gas Pipes (Category 20), while retaining a reduced allocation for Sheet Piling (Category 18). Algeria receives country-specific quotas for Reinforcing Bars (Category 13) and selected pipe products.

As many of these country-specific quotas did not exist under the previous safeguard framework, they are not directly comparable with earlier allocations.

The revised safeguard methodology caps annual duty-free steel imports into the European Union at 18.3 mln tons. Country-specific quotas are generally allocated to suppliers accounting for at least 5pct of EU imports in a particular product category during the 2022-2024 reference period, while exporters below that threshold compete within the residual “Other Countries” quota. The methodology also distinguishes between free trade agreement (FTA) and non-FTA partners, with half of the total annual quota volume (9.15 mln tons) reserved for countries covered by the EU’s FTAs.

For GCC producers, the revised framework creates a more selective market access environment. As non-FTA partners, GCC countries generally compete under the residual “Other Countries” quota unless they qualify for a country-specific quota in a particular product category. Under the revised system, Saudi Arabia receives a country-specific quota for Category 1A, while the United Arab Emirates receives country-specific quotas for Categories 17, 18 and 20. In product categories where no country-specific quota exists, GCC exporters continue to compete within the residual quota in accordance with the safeguard rules. Imports exceeding the applicable quota are subject to the EU’s 50pct safeguard duty.

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