WRITTEN QUESTION P-1148/04 by Renato Brunetta (PPE-DE) to the Commission. Availability of ferrous metal scrap on the Union market.
Date: 2004-04-06
Institutions: European Parliament, Provisional data
Subjects: China, commodity price, economic consequence, export restriction, iron and steel industry, metal waste, shortage, trade restriction

8.4.2004

EN

Official Journal of the European Union

C 88 E/281

This situation affecting the European steel market is largely due to measures taken by China which, despite
joining the WTO, has maintained quantitative trade restrictions.

Does the European Commission not consider that it is necessary to:

1.

2.

3.

intervene as a matter of urgency to restrict exports of scrap metal from Europe, possibly introducing a
licensing requirement, so as to prevent a further surge in the cost of steel?

call on China to abolish all quantitative trade restrictions now that it is a member of the WTO and has
undertaken to abide by its rules?

introduce a system at Community level to monitor the situation in the steel industry so as to tackle
the economic disadvantages facing European producers and prevent speculation on the cost of raw
materials?

(2004/C 88 E/0287)

WRITTEN QUESTION P-1148/04

by Renato Brunetta (PPE-DE) to the Commission

Subject: Availability of ferrous metal scrap on the Union market

(6 April 2004)

Is a known fact that the overwhelming increase in the consumption of steel products in eastern Asia
(China, India, Taiwan and Thailand) and substantial renewed consumption in the United States have led to
a massive and sudden increase in the amount of ferrous metal scrap purchased by these manufacturers in
the Union. European steel producers have therefore had to face not only steep price rises (between EUR 70
and 250 per tonne) but actual problems in finding scrap metal, which have led to production being
suspended, and obvious repercussions on fulfilling supply contracts. The higher price of metal scrap has
naturally increased the price of finished steel products.

In view of the principle (cid:1) often mentioned by Parliament (cid:1) of the strategic need for the Union to be able
to rely on a strong, independent and competitive European manufacturing industry, and the importance of
steel products for a whole range of industrial consumer goods, can the Commission say:

(cid:1) how it intends to tackle this situation, which has now become a structural problem and how it intends
to implement the above-mentioned principle now that safeguarding the European electrical steel
industry has become a real problem, with the attendant risk (cid:1) likely to emerge in the next few
months (cid:1) of a rise in the prices of finished products containing steel;

(cid:1) what immediate practical measures it will take to find a swift solution to the problems caused by this
situation before the increase in China’s steel consumption causes job losses and spiralling inflation in
Europe?

(2004/C 88 E/0288)

WRITTEN QUESTION E-1161/04

by Mario Mauro (PPE-DE) to the Commission

(20 April 2004)

Subject: Foundry sector: shortages of raw materials

Europe is undergoing a serious steel and foundry crisis, which, by extension, affects all major steel users,
from construction firms to the automobile and electric appliance industries.

This crisis has two causes: China’s decision to reduce coke exports, with serious repercussions in Europe,
and a rise in scrap prices due to a shortage of material and as a result of speculation.