Open letter

From 76 CEOs of the European steel industry to EU Heads of State and government

An ambitious European Union Emissions Trading System must work for the environment – and support jobs and industry

To the Heads of State and governments of the European Union,

We, the undersigned CEOs of the European steel industry, are writing to you ahead of the final negotiations on the reform of the EU Emissions Trading System (EU ETS).

We agree that climate change is a critical issue that urgently needs to be addressed at international level, and we fully support efforts to reduce CO2 emissions cost effectively across the whole EU economy.

In the weeks ahead, you will have the final opportunity to shape an EU ETS that better addresses these objectives while preserving Europe’s steel industry and the millions of employees it supports. You can avoid burdening the sector with high costs that will constrict investment, or that will increase the risk of job losses and plant closures in the EU.

The steel sector pulls its weight in lowering CO2 emissions. However, with technically unachievable steel benchmarks, the EU ETS legislation creates high carbon costs for even the best performing steel plants, despite the fact that the sector has been unambiguously recognised in the European Commission’s own Impact Assessment as being at very high risk of carbon leakage. In its current form, the EU ETS favours steel imports from third country competitors that do not have such costs and which have a far higher carbon footprint than steel made in the EU.

Were the EU ETS directive to be adopted without some of the improvements requested by the European Parliament there would be a shortage of emissions allowances for our industry of around 35% by 2030. There will be no spare allowances from previous years available to alleviate the impact of the post 2020 period in the steel industry. In addition, the sector would be even more exposed to the carbon cost pass-through in electricity prices. Other industry sectors under the EU ETS do not face these constraints to the same degree.

We therefore call upon you to help preserve the sustainability and global competitiveness of the European steel industry. Europe must be able to produce the innovative steels that underpin modern society - and that help reduce CO2 emissions.

It is essential that the improvements that have been agreed by the European Parliament on waste gases, auctioning share, cross sectoral-correction factor and indirect costs are also adopted by the Council. This will help to ensure reform that encourages climate protection and the fulfilment of the EU’s CO2 reduction commitments, while also limiting the impact upon the European steel industry’s competitiveness, ability to innovate and the jobs it supports.

Yours sincerely,



Aditya Mittal
CEO
ArcelorMittal Europe
Francesc Rubiralta Rubio
Chairman and CEO
CELSA Group
Antonio Gozzi
President
Federacciai
Martin Lindqvist
CEO
SSAB Svenskt Stahl AB
Claudio Riva
President
Riva Forni Elettrici
Heinz Jörg Fuhrmann
CEO
Salzgitter AG
Jean-Christophe Chassaigne
President
Salzgitter Mannesmann Stainless Tubes France
Hans Fischer
CEO and CTO
Tata Steel Europe Ltd
Andreas J. Goss
CEO
thyssenKrupp Steel Europe AG
Adrian Popescu
President & CEO TMK-ARTROM SA
President Unitub Romania
Herbert Eibensteiner
Head of the Steel Division and Member of the Management Board
voestalpine AG
Bernardo Velazquez Herreros
CEO
Acerinox SA
Carlos Álvarez
CEO
Aceros Inoxidables Olarra
Fred Metzken
CEO,
AG der Dillinger Hüttenwerke
CEO,
Saarstahl AG
Francisco Javier Sanchez
CEO
AG Siderurgica Balboa S.A.
Catherine Tissot-Colle
Présidente
Alliance des Minerais Minéraux et Métaux - A3M
Timoteo Di Maulo
CEO
Aperam
Cristian Gradinaru
CEO
ArcelorMittal Roman Tubular Products
Eduardo Samblas
CEO
ArcelorMittal Tubular Products Ostrava a.s.
Gilles Peru
CEO
Ascometal
Denis Hugelmann
Président
Aubert & Duval
Wim Van Gerven
President
Belgian Steel Federation
Andreas Hauger
CEO
Benteler Steel/Tube
Peter Bernscher
CEO
British Steel
Gérard Glas
President
British Steel France Rail
Michel Hamy/Markus Menges
Director General
BSW - Badische Stahlwerke GmbH
Politimi Paunova
Executive Director
Bulgarian Association of the Metallurgical Industry
Jerzy Kozicz
Chairman of Management Board
CMC Poland
Jürgen Alex
Member of the Board
Deutsche Edelstahlwerke GmbH
Antonio Gozzi
CEO
Duferco Industria Group
Hans Lammert
Managing Director
Edelstahl-Vereinigung E.V.
Dominique Richardot
Secrétaire Général
ESTA
Armin Kauls
Managing Director
ESW RÖHRENWERKE
Michele Della Briotta
Managing Director
Europe Tenaris
Roman Stiftner
Managing Director
Fachverband Bergwerke und Stahl
Peter Behrend
President
Fachvereinigung Stahlflanschen e.V.
Giuseppe Pasini
President
Feralpi Group
Mario Caldonazzo
CEO
Finarvedi
Antonius Deelen
CEO
FNsteel bv
Frank Koch
CEO
Georgsmarienhütte Holding GmbH
George Skindilias
Vice-President and CEO
Halyvourgiki Inc.
Vassileios Goumas
CEO
Hellenic Halyvourgia
Melker Jernberg
CEO
Höganäs AB
Jaroslav Raab
Executive Director
Hutnictvi Zeleza
Evgeny Tankhilevich
CEO
ISD Dunaferr Danube Ironworks Private Company Limited by Shares
Anatolii Fediaiev
President of the Board
ISD Huta Czestochowa Sp.z.o.o.
S. Zeilberger, K. Rummler, J. Henze
Members of the Executive Board
Lech-Stahlwerke GmbH
David Iroz
Director General
Laminés Marchands Européens
Markus Ritter
Managing Director
Marienhütte Stahl- und Walzwerk GmbH
José Enrique Freire Arteta
President and CEO
Megasa
Kimmo Järvinen
Managing Director
Metallinjalostajat - Association of the Finnish Steel and Metal Producers
Roberto Re
Commercial Director
Metinvest International Italy sarl
Robert Móger
Director
MVAE - Association of the Hungarian Steel Industry
Ben De Vos
CEO
NLMK International BV
Filippo Gottardis
International Sales Director
Officine Tecnosider
Roeland Baan
President & CEO
Outokumpu Oyj
Marcus Hedblom
CEO
Ovako AB
Stefan Dzienniak
President of the Board
Polish Steel Association
Viktor Dembitsky
CEO
Promet Steel JSC
Michael Müller
CEO, Stahl-Holding-Saar GmbH & Co. KGaA
Chairman, Supervisory Board of Aktien-Gesellschaft der Dillinger Hüttenwerke
Chairman, Supervisory Board of Saarstahl AG.
Petra Einarsson
CEO
Sandvik Materials Technology AB
José A. Jainaga
President and CEO
Sidenor Aceros Especiales
Nikolaos Mariou
General Manager
Sidenor SA - Greece
José Enrique Freire Arteta
President
Siderurgia Nacional - Empresa de Produtos Longos S.A.
Siegfried Gierl, Harry Nimmerjahn
Managing Directors
Rohrwerk Maxhütte GmbH
Gustavo Vianna
Director
Saint-Gobain PAM
Denis Mancevic
CEO
SIJ Slovenian Steel Group
Bo-Erik Pers
CEO
Jernkontoret
Alexander Alexandrov
General Manager
Stomana Industry SA
Jan Czudek
CEO
Trinecke Zelezarny AS
Jesus Esmoris
CEO
Tubacex
Guillermo Ulacia
Executive Vice-President
Tubos Reunidos Group
Scott D. Buckiso
President
U.S. Steel Kosice
Patrick Lamarque d'Arrouzat
CEO
Ugitech
Gareth Stace
Director
UK Steel - EEF
Gonzalo Urquijo
President
UNESID Spanish Steel Association
Ionel Bors
President
UniRomSider
Philippe Crouzet
Président du Directoire
Vallourec
Dmitrij Scuka
CEO and Chairman of the Board
Vitkovice Steel a.s.
Hans Jürgen Kerkhoff
President
Wirtschaftsvereinigung Stahl
Vladimír Soták
Chairman of the Board of Directors and CEO
Železiarne Podbrezová a. s.

Geert Van Poelvoorde
President
EUROFER

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