Brazil Requests Compensation From EU For Steel Safeguard Tariffs

Europe extended protection measures for two more years

São Paulo
Steel factory in São Paulo - Bloomberg News

​The Brazilian government demanded on Monday compensation from the European Union's safeguard steel tariffs, imposed by the block earlier this month. Brazil also notified the World Trade Organization (WTO) that it might adopt other measures to balance its trade with Europe given the new scenario with the steel tariffs.

"The Brazilian government remains open to dialogue with the European Union to seek the best way to solve this matter," reads the statement. "It also reinforces our disposition to defend the interests of Brazilian steel producers and importers."

The EU decided to extend for an additional two and a half years the safeguards tariffs enacted in July 2018 to protect the European steel production. The movement was caused by the United States' decision on tariff steel and aluminum imports.

The safeguard tariffs establish quotas for 28 product categories, like laminated steel, pipes and construction materials for roads and highways. Brazil is subjected to seven of those categories.

Translated by NATASHA MADOV

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