European Union member states plan to request safeguard investigations into chemicals and plastics, according to officials familiar with ongoing discussions. France, Germany, and Italy are preparing to submit formal requests within weeks to activate one of the EU’s least-used trade defence tools, targeting what leaders view as damaging import waves from China and other suppliers.
The proposed safeguards would cover three product categories: polyethene terephthalate (PET), a polymer widely used in packaging; epoxy resin; and glass fibres. These products have flooded European markets at prices that undercut domestic producers.
A spokesperson for France’s trade ministry stated that the government considers a safeguard investigation into certain chemicals and plastics necessary. The French position reflects concerns that Europe’s chemical sector is currently facing significant difficulties. Italy echoed this view, noting particular interest in protecting chemicals used across defence, automotive, energy, shipbuilding, and infrastructure industries.
A shift in EU trade strategy
The move marks a notable reversal in Brussels’ traditional approach. The EU currently maintains over 150 trade measures, mostly narrowly focused tariffs on specific products. Only one safeguard system exists across the bloc, targeting ferro-alloys. A separate framework covers steel.
Safeguards operate differently from targeted tariffs. They apply blanket protections to all trading partners, including nations with free trade agreements with the EU such as Japan and Canada. This broad reach has made EU members reluctant to deploy them historically, viewing safeguards as overtly protectionist.
Recent shifts in global trade dynamics have altered calculations. The Trump administration’s tariffs on European goods and China’s expanding share of global chemical exports have prompted governments to reconsider their protective stance.
EU Trade Commissioner Maroš Šefčovič acknowledged this change, noting that the Commission was reviewing its historical reluctance to use safeguards.
Industry crisis deepens
Europe’s chemical sector faces its worst crisis in three decades. High energy costs, weak demand, and competition from Asian suppliers have forced major manufacturers to slash operations. BASF, Lanxess, and Wacker are among companies cutting thousands of jobs across the region.
German chemical industry representatives confirmed that member companies are preparing to support safeguard requests currently being developed by EU governments.
Requests submitted by EU member states require approval through a qualified majority vote, meaning at least 15 member states representing 65% of the EU’s total population must support the measure. This threshold was previously considered unreachable but now appears within reach given shifting political sentiment across the bloc.
