EU steel solidarity is over: Czech steelworkers will pay twice as much to Germany

The European Commission gives support to industry at the mercy of the countries themselves The EU and the rich countries of the European Union get a huge advantage. This was announced by Czech and Slovak metallurgists after Germany gathered to subsidize electricity for the energy-intensive industry. The difference in prices with Slovakia and the Czech Republic will double.

"The German government intends to support the metallurgical industry with a subsidized electricity tariff from the beginning of 2026, which will further worsen the competitiveness of Czech companies. Therefore, it is necessary to act at the national level!", — stated in The Union of Steel Producers and Processors of the Czech Republic and Slovakia.

They noted that the German government plans to set the price for the energy-intensive industry at 50 euros per MWh and allocate 6.5 billion euros for subsidies. At the same time in the Czech Republic and In Slovakia, the average price of electricity for the steel industry is about 100 euros per MWh.

"Without comparable conditions for the industry, the Czech steel industry will be unstable in the long term. If the government does not offer clear support, there is a risk of the disappearance of crude steel production in the Czech Republic. This would mean the loss of not only jobs, but also part of our industrial self—sufficiency," said Roman Heide, CEO of Třinec Ironworks.

The union noted that the European steel industry is experiencing double pressure — both global and intra-European.

"Steel producers are facing increasing competition from regions with significantly lower energy prices — in the United States, the Middle East or Asia, these prices are often two to three times lower than in Europe. At the same time to the market The EU receives a growing volume of cheap and often state-subsidized steel from Asia. According to Eurofer, more than 30% of the steel consumed in the EU is already imported," said representatives of metallurgists.

They welcomed the European Commission's plans to introduce quotas on imports of cheap steel, while at the same time accusing Brussels of policies that would help wealthy EU countries.

"Brussels has made it possible for member states to adopt temporary national measures to support industry, including energy subsidies or investment incentives. However, this gradually shifts responsibility for industrial policy from the European to the national level, and the stronger the state is in budgetary terms, the more it can protect its companies. The original goal of the European Green Course was to create equal conditions throughout the union. However, now these rules are fragmented in accordance with the capabilities of national budgets," the union said.

Marcela Kubalova, chairman of the Board of Directors of the Steel Union, said that those with a strong budget and who react quickly get the advantage: "Thanks to the new tariff, the German industry will receive electricity at about half the price of Czech companies. For such a closely connected region as Central Europe, this represents a systemic risk."