German vice chancellor calls for EU to halt import of Russian steel

German Vice Chancellor and Finance Minister Lars Klingbeil has urged European Union member states to halt imports of steel from the Russian Federation.

Klingbeil stressed that Russian steel slabs — semi-finished products later processed in EU countries — remain exempt from sanctions, Caliber.Az reports via foreign media.

“You can't explain to anyone working in our steel industry why Europe continues to keep the market open for [Russian President Vladimir] Putin,” he emphasised.

He added that slabs are the main raw material for producing steel sheets and panels, calling this loophole in the sanctions regime unjust.

Klingbeil went on to say that addressing global overcapacity and dumping prices requires “more European patriotism,” emphasising the need for more local production and a stronger focus on climate-friendly, high-quality steel from Germany and Europe.

"In important areas such as infrastructure and the automotive industry, we should prioritize steel that is produced here," he said.

The European Union continues to ramp up economic pressure on Russia, with its 19th sanctions package targeting energy revenues and the operations of the shadow fleet.

The new measures extend beyond major producers such as Lukoil and Rosneft, covering dozens of their subsidiaries, including Lukoil Perm, Lukoil Western Siberia, the Kuibyshev Oil Refinery, Rosnefteflot, and Prime Shipping.

Meanwhile, the United Kingdom has granted a special license permitting companies to cooperate with two German subsidiaries of Rosneft that remain under German state control due to sanctions on the Russian oil firm.

The United States and the EU are jointly tightening restrictions on Russia, resulting in lower industrial output, rising borrowing costs, and a deeper downturn in the country’s economy.

By Jeyhun Aghazada