Turkey is gaining a competitive advantage in the EU steel market thanks to its high reliance on electric arc furnace (EAF) technology. Around 70% of Turkish steel production is EAF-based—well above the global average—resulting in lower carbon emissions and aligning with EU climate policies under the Carbon Border Adjustment Mechanism.
Barış Yılmaz of PASİD highlighted at the Steel Industry Supply Chain Forum in Taiwan that Turkey’s production structure positions it favorably compared to countries like South Korea and Vietnam, where EAF usage is significantly lower. This allows Turkish producers to pay less carbon tax under CBAM and offer cleaner steel at competitive prices.
Turkey’s exports of hot-rolled coil and rebar to the EU have surged, supported by favorable safeguard quotas and proximity advantages. The country’s green transformation efforts and flexible production capabilities are helping it capture greater market share across Europe.