ArcelorMittal Kryvyi Rih has completely stopped exports to the EU because of the carbon tax

Ukraine’s largest steel plant, ArcelorMittal Kryvyi Rih, has completely halted exports of steel products to EU countries after the Carbon Border Adjustment Mechanism (CBAM) was applied to Ukraine without exemptions or delays starting on January 1, 2026.

This was stated by the company’s CEO, Mauro Longobardo.

According to him, after the introduction of an additional charge of $60–90 per ton, European customers canceled all orders for the first quarter of 2026. The volume involved was about 300,000 tons of products. In total, the company had planned to supply 1.25 million tons of steel products to the European market in 2026, which accounts for nearly half of its annual output.

The loss of the EU market has already led to the shutdown of the blooming mill and the foundry-mechanical plant. This has affected more than 3,000 workers. The company also says it currently lacks the resources for a rapid transition to “green” production, because funds previously set aside for modernization were redirected to cover losses caused by the war.

Longobardo called on the European Commission to postpone the application of CBAM to Ukraine for at least three years, warning of serious consequences for the enterprise and for the entire Ukrainian steel industry.