Metals industry calls for 'flexible' deadlines amid Covid-19

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Request for state aid as companies face unprecedented challenges

Europe
Metals
EU REACH
Covid-19
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Trade association Eurometaux has asked EU leaders and member states to provide "flexibility" in regulatory deadlines and state aid to help industry deal with "significant and growing" impacts from the coronavirus Covid-19 pandemic.

Imminent policy implementation deadlines should be evaluated and extended when necessary, the association said. As a first move, the 13 June compliance deadline for best available technique (BAT) conclusions for non-ferrous metals should be delayed, it added.

BAT conclusions are the reference for setting permit conditions for installations on industrial emissions. Competent authorities set emission limit values to ensure those associated with BAT conclusions are not exceeded.

Eurometaux is investigating other deadlines for possible extensions.

Continuous EU metals supply is "vital" as it feeds into essential value chains, such as medical equipment, food packaging and critical infrastructure, the trade body said. It also called for state aid and other priority measures, including protective equipment materials.

Additionally, Eurometaux asked for EU measures to ensure frictionless cross-border transport and a stable supply of essential raw materials.

It echoes the demands of many other industries across the bloc after the pandemic has damaged economies. Regulators have been responding with deadline extensions and relaxed regulations.

'Unprecedented' challenges

Companies are experiencing "unprecedented challenges which we expect to grow in the next weeks and months", said director general Guy Thiran, citing reduced demand, supply disruptions, transport difficulties and workforce disturbance.

"We call for EU leadership to support member states in sustaining Europe’s production of key materials and preventing irreversible damage to entire value chains," he said.

Plant closures and a slowdown in European and global automotive and construction supply chains are eroding the EU market for metals, with some companies predicting a demand reduction of over 50% in the coming weeks, Eurometaux added.

It reported bottlenecks in supply of raw materials and other inputs, notably from China, which has a dominant market share in metals such as silicon, magnesium, manganese tablets and calcined petroleum coke (CPC).

Another challenge, Eurometaux said, is that smelting and refining plants operate continuous production processes that cannot be stopped without damage. In contrast, certain downstream transformation operations would be liable for idling due to severe demand reduction from key sectors.

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