According to AlloyMetrics managing consultant Kevin Fowkes, citing current Eurostat data, the tariff quotas during the second quarter of the EU's safeguard measures on ferroalloys (from February 18 to May 17, 2026) were not fully utilized. At the same time, consumption across all major product categories was higher than in the first quarter of the mechanism's operation. For the European metallurgy sector, this is a significant signal: the raw materials market remains active but has not yet reached a state of total deficit across all positions.
Dynamics of Quota Utilization and Import Structure
The highest level of quota utilization in the reporting period was recorded in the silicomanganese segment, where imports reached 95% of the available volume, compared to 90% in the first quarter. Ferrosilicon imports accounted for 89% of the quota, up from 87% in the previous period. Ferromanganese also saw growth, with quota utilization rising to 71% from 65% previously.
However, the situation varies significantly depending on the country of origin and the specific alloy. Some suppliers are approaching the duty-free limit, while others remain far from maximum levels. Specifically, Malaysia and South Korea are operating below quotas for ferromanganese, Zambia for silicomanganese, and South Africa for ferromanganese. An additional factor is the closure of the Assmang plant in South Africa in 2025, which weakened supply from that region.
The AlloyMetrics expert also points to logistical and regulatory peculiarities. He estimates that countries with a large number of producers face difficulties in distributing export volumes without violating antitrust requirements. Some suppliers, particularly from India and Brazil, are likely using bonded warehouses in the EU to quickly bring material into the market at the right time.
Impact on the Steel Market and Solutions from winox.ua
Ferroalloys are a critical component of steel production; therefore, fluctuations in quotas and actual deliveries directly affect metal costs, procurement lead times, and price dynamics throughout the supply chain. If quota utilization continues to rise, the market may react more quickly to any logistical disruptions or production cuts in exporting countries. For manufacturers and metal product traders, this necessitates more precise inventory planning and closer monitoring of contractual terms.
In such an environment, the reliability of a metal products supplier becomes paramount. The winox.ua company works with industrial clients who prioritize predictable procurement terms, stable pricing, and the continuity of metal roll, stainless steel, and non-ferrous metal supplies. For businesses sensitive to changes in the raw materials market, this allows for the reduction of operational risks and more accurate planning of production cycles.
While ferroalloy quotas primarily concern the raw materials segment, their impact extends across the entire metallurgical chain. This is why industrial consumers should track not only exchange prices or duties but also the actual quota loading by specific countries and products. This helps in timely assessing risks for the procurement of steel and derivative metal products.
The EU Safeguard Measures Framework
The European Commission's definitive safeguard measures came into force on November 18, 2025, following an 11-month investigation. They are set to remain in place for three years, until November 17, 2028, and involve tariff-rate quotas for individual countries for the duty-free import of each type of ferroalloy. Once these limits are exceeded, imports are subject to a duty calculated as the difference between a set price threshold and the actual price of the imported product.
This mechanism is designed to curb sharp market imbalances and protect European producers from excessive import pressure. At the same time, current data shows that even with restrictions in place, the market continues to actively consume ferroalloys. For participants in the metallurgical sector, this means that the topic of quotas will remain critical for both trade policy and procurement practices in the coming quarters.