13 April 2026 – In the United States, it is already becoming clear where steel tariffs lead when they spill over into the packaging industry. Europe is now debating the same course of action – and once again asking the wrong question. Raw material prices are rising at the start of the week.
Base Metals Open the Week Higher
Metal markets are posting noticeable gains at the start of the week. Aluminium and nickel on the LME rose by 2.5% at the opening of trading, while copper was up 1.6%. Stainless steel futures on the SHFE also recorded gains on Monday, with Asian base metals overall showing a firm and stable tone across aluminium, nickel and copper.
Steel Tariffs Are Driving Up Packaging Costs: The Exemption Game Nobody Wins
In the United States, it is already becoming clear where steel tariffs lead when they spill over into the packaging industry. Europe is now debating the same course of action – and once again asking the wrong question.
America Shows Where Steel Tariffs Lead
A 50% tariff on steel and aluminium has pushed up the production costs of food cans in the United States to such an extent that it is now cheaper for food manufacturers to import fruit and vegetables already canned than to can them domestically. A tariff that was supposed to protect domestic industry has made locally grown food uncompetitive in its own home market. Canneries are closing, seasonal workers are losing their jobs, and small suppliers are losing their customers. Nearly 28,000 jobs and USD 15.7 billion in economic output are under pressure.
What is visible in canned food applies structurally just as much to beverage cans, aerosol cans, paint buckets and chemical containers. At the end of the chain, the consumer pays the price at the supermarket.
Europe Is Heading in the Same Direction with Eyes Wide Open
The European Commission not only wants to replace the expiring steel safeguard mechanism, but to tighten it significantly: a 50% tariff on imports above a quota cut by 47%. Trade associations representing the metal packaging industry are warning of significant competitive disadvantages – specialised steel grades that are essential for high-quality packaging are simply not produced in sufficient quantities in Europe. It is the same underlying problem as in the United States.
What follows is predictable: lobbying for exemptions. On top of that come new bureaucratic requirements – such as the “melt and pour” rule, with detailed origin documentation for every steel item. For SMEs without their own compliance departments, that means more effort, more costs and more risk – in addition to the CBAM carbon tax that has been in force since January 2026.
The System Is the Problem
The automotive industry, the packaging sector, construction, mechanical engineering, breweries – all of them need exemptions from the same steel tariffs in order to remain competitive. When a regulatory framework forces exemptions on such a broad scale, the problem is not that the exemption list is too short. The framework itself is the problem.
A patchwork of special rules does not create a free market – it creates a bureaucratic contest in which the best-organised lobbying association wins, while SMEs without an office in Berlin or Brussels are left behind once again. In the end, that bill, too, inevitably lands with the final consumer.
Unfortunately, the Commission’s proposals are still far too rarely challenged openly. Yesterday evening, the European Council also lost a prominent critic of Brussels’ current course. How his successor will position himself remains to be seen.
Ultimately, the question we should not be asking is: Who gets the next exemption in the steel tariffs? The question should be: Why are we knowingly introducing a system that cannot function at all without exemptions?
Latest news
- EU Safeguard Update: Is Brussels Quietly Extending the Steel Tariff Wall?
- Millions in Donations: European Steel Coming to the White House?
- Maximum Intransparency: CBAM Price for Q1 2026 Published
We at the Gerber Group have been trading in stainless steel worldwide for over 20 years. We are your experts when it comes to purchasing, import, logistics and services. Information is a vital part of this. Because only then can you and we make the right decisions. Do you have any questions? Contact us now.
Disclaimer: Many things here represent our opinion. Others are information from the Internet. We can therefore never claim to be correct or complete. And never base a business decision solely on the news you receive from us.
