Vietnam faces new EU steel quotas and US electric vehicle tariffs

The European Union has introduced an 18.3‑million‑tonne annual quota for duty‑free steel imports. Imports exceeding the quota will be subject to a 50% anti‑dumping tariff, double the previous 25% rate. About half of the quota is reserved for countries with free‑trade agreements with the EU, such as the United Kingdom, Switzerland and India, while Ukraine receives special treatment. The EU also added a “melted and poured” rule to trace the origin of steel and strengthen its trade‑defence measures. In response, Vietnam's Ministry of Industry and Trade advised Vietnamese firms to review their export product listings and improve source‑of‑origin documentation to remain competitive in the EU market.

Meanwhile, the United States under President Donald Trump is preparing a new long‑term tariff regime that keeps a 25% import duty on conventional cars and imposes a 100% duty on electric vehicles produced in China. The EU is pursuing a softer approach, considering a floor‑price mechanism to curb cheap Chinese EV imports while still protecting its own auto industry. Rapid growth in Chinese EV exports – over one million vehicles in a single month in June 2026 – has heightened concerns about overcapacity and market distortion, adding another layer to the geopolitical competition over automotive and steel sectors.