Statistical error and unfulfilled commitment: Interpipe flags 30% undercount in Ukraine's seamless pipe quota

Statistical error and unfulfilled commitment: Interpipe flags 30% undercount in Ukraine's seamless pipe quota
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On the 1st of July 2026, the European Union’s new steel market protection mechanism entered into full force.

The implementing regulation published on 30th of June 2026 allocates country-specific tariff-rate quotas (TRQs) to Ukraine across nine product categories, amounting to 1,049,960 tons annually.

Interpipe, a leading manufacturer of seamless steel pipes and railway products, believes that the quota allocation for Ukraine seamless pipe sector is affected by a significant statistical error. In addition, based on the Company’s own calculations the quota does not reflect the preferential treatment for Ukraine envisaged by the regulation adopted by the European Parliament on 19th of May 2026.

In seamless tubes, Ukraine was allocated an annual quota of 80,670 tons. However, throughout the consultation process, the Ukrainian authorities repeatedly informed the European Commission that this figure is based on a data error: a substantial share of Ukrainian exports to the EU during 2022–2024, as confirmed by Eurostat, was not fully reflected in the underlying calculations. As a result, Ukraine’s quota for this category is at least 30% lower than it would have been if the correct data had been used.

Beyond this technical issue, Interpipe believes that the implementing regulation does not give full effect to the preferential treatment for Ukraine, an EU candidate country facing an exceptional and immediate security situation as envisaged by the regulation. Specifically, in calculating the MFN portion of the quotas, Ukraine was treated in the same manner as major global exporters, including countries with documented non-market excess capacity. Likewise, the same methodology was applied to Ukraine as to all other FTA partners, without the differentiation expressly provided for in the regulation.

Commenting on the EU’s quota allocation, Luca Zanotti, CEO at Interpipe:

- Interpipe considers the current level of steel quotas a severe blow to Ukraine and Ukrainian steel industry which continues to operate in frontline regions under wartime conditions. The allocation also fails to take into account the significant social and economic consequences it will have for thousands of employees, their families, and the communities that depend on Ukraine’s steel industry. The purpose of the regulation is to address the problem of global non-market excess steel capacity. In this respect, Ukraine is clearly not part of the problem.

As a CEO of a war struggling Interpipe I expect the European Commission to correct the application of the data for Ukraine in the seamless pipe category before the end of the third quarter of 2026 which is the only fair way to rectify the mistakes that took place.

About the company:

Interpipe is global producer of steel pipes and railway products based in Ukraine. The company’s products are marketed in more than 70 countries all around the world via the network of sales offices located in key markets in Europe, North America and the Middle East. In 2025, Interpipe supplied 470 kt of pipes and 89 kt of railway products. Railway products are sold under the KLW brand.

The total number of Interpipe’s employees is about 9.5 thousand people. The number of our employees who serve in the Armed Forces of Ukraine or other law enforcement agencies is at the level of 1150 people.

During 2025 the Company transferred a record amount of paid taxes and fees - UAH 5.566bln - to the budgets of all levels and extra-budgetary funds.

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