The European Steel Association (EUROFER) welcomes the European Commission’s decision to issue a Statement of Objections against the MMG’s acquisition of Anglo American’s Brazilian nickel operations, saying it safeguards competition, security of supply and Europe’s industrial resilience.
Europe’s stainless-steel industry depends on reliable access to imported ferronickel to produce high-quality, low-carbon steel. That trade, the Association argues, must remain open, fair and consistent with Europe’s standards on sustainability, decarbonisation and social responsibility.
Axel Eggert, Director General of EUROFER, said: “Any transaction affecting strategic raw materials should strengthen competition, security of supply and Europe’s industrial autonomy not create new dependencies. We therefore welcome the European Commission’s decision to take a clear stance for safeguarding independent and competitive access to a key raw material for European stainless-steel production.”
Maintaining access to competitive, low-carbon ferronickel is essential if European producers are to meet their decarbonisation obligations while continuing to invest and produce in Europe. EUROFER has consistently warned that further concentration of strategic raw-material supply could increase pricing power, reduce choice and distort market conditions to the long-term disadvantage of European producers.
In the context of the Indonesian ban on Nickel exports resulting in Indonesia becoming the source of circumvention of a majority of stainless imports into Europe, further consolidation of the nickel supply chain in Brazil needs to be reviewed carefully.
EUROFER said any eventual outcome should have robust and lasting safeguards- structural, governance and/or ownership-based, not merely contractual - that preserve direct, competitive access to Anglo American’s Brazilian ferronickel production for European stainless-steel producers and ensure that these assets continue to operate on market-oriented terms.
Eggert added: “Europe’s steel industry relies on international trade and will continue to do so. But open trade must also be fair, resilient and competitive. Europe must preserve its ability to source responsibly and avoid a situation in which any single country or supply chain can dominate the global market.”
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