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| Ukraine ferrous scrap export restriction |
Growing Export Pressures Threaten Domestic Supply
The European Business Association urges the government to maintain the Ukraine ferrous scrap export restriction through 2027. This zero-quota policy secures vital secondary raw materials for domestic steelmakers during wartime reconstruction. Alternatively, member companies propose a protective export duty of €180 per tonne on all export destinations. As a result, Ukrainian manufacturers can preserve critical inputs for defense and infrastructure rebuilds.
Rising foreign shipments create severe raw material shortages for local processing mills. In 2025, Ukrainian ferrous scrap exports surged by 53 percent to over 448,000 tonnes. However, unrestricted outward flows jeopardize the operational stability of the national steel sector. Domestic processing generates high added value, supports local jobs, and boosts tax revenues significantly.
Strategic Alignment with Decarbonization and CBAM
Scrap utilization directly lowers energy consumption and carbon emissions during the steelmaking process. Consequently, domestic scrap consumption strengthens Ukraine’s alignment with European Union CBAM regulations. Meanwhile, the EU evaluates its own draft legislation restricting scrap exports to third countries. Therefore, maintaining a Ukraine ferrous scrap export restriction guarantees regional scrap retention and industrial survival.
ScrapInsight Commentary
The EBA’s firm stance underlines scrap metal’s elevated status from waste to a strategic national defense asset.
Expect tighter global scrap availability as Ukraine and the EU enforce export barriers to meet strict decarbonization targets.
Consequently, regional mills without integrated domestic scrap supply chains will face escalating procurement costs through 2027.
