During a press conference held in Milan, Flavio Bregant, general director of Italy's steel producers association Federacciai, spoke about the potential threats to the European and Italian iron and steel industry deriving from unfair trading politics. In particular, he raised the alert over the upcoming entrance of Russia into the World Trade Organization (WTO).
"Russia, which is to join the WTO in June/July, has a number of duties on steel imports and on exports of steelmaking raw materials, namely ferrous scrap. In order to face this means of trading control, Europe imposed quotas on ex-Russia steel imports through the issue of import licences", Mr. Bregant said. He added, "Thanks to these rules the market has worked well, until now."
The Federacciai official stated that, despite entering the WTO, resulting in the withdrawal of import quotas, Russia will confirm its import and export duties though with some downward adjustments. He went on to say, "The country is even imposing physical restrictions, blocking some of the most important ports for scrap exports." Bregant also highlighted that "a similar situation already occured a couple of years ago with Ukraine. Since then, the country has tripled its hot rolled coil imports into the European Union".