On July 23, the European Commission (EC) officially activated a customs monitoring system to closely track the import and export of metal scrap — including steel, aluminum, and copper — entering and leaving the European Union (EU). This move sends a clear signal to Vietnamese companies engaged in metal recycling or related trade activities to pay special attention.
EU’s Strategic Policy Shift
This initiative is part of the Steel and Metals Action Plan (SMAP) announced by the EC on March 19, aimed at addressing potential shortages of recycled raw materials and protecting the EU metal industry’s competitiveness.
A key component of the plan involves tight control over scrap flows to secure intra-EU supply and support the EU’s target of reducing net greenhouse gas emissions by 90% by 2040.
According to the EC, the availability of metal scrap within the EU is declining, partly due to “leakage” of scrap exports to third countries. With global raw material prices rising and the U.S. imposing a 50% tariff on several steel and aluminum products (excluding scrap), scrap exports from the EU to markets like Vietnam are expected to face tighter restrictions.
Impact on Vietnamese Importers
Vietnamese enterprises importing metal scrap from the EU should note that the EC’s customs monitoring system will collect detailed data on each exported shipment, including origin, volume, and destination.
This information may later be used to justify trade restriction measures if the EC identifies potential supply shortages within the bloc.
Furthermore, the EC is working with industry partners to refine scrap classification standards, which could result in stricter export certification and quality requirements in the near future.
Outlook and Recommendations
By the end of Q3 2025, the EC plans to review trade statistics and may introduce additional regulatory actions based on current market developments.
Since trade data will be updated monthly, any new policy shifts could be implemented rapidly.
Vietnamese businesses should:
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Closely monitor EU trade regulations and updates from the EC.
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Strengthen compliance and traceability systems for imported scrap materials.
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Develop alternative sourcing strategies in anticipation of possible restrictions or quality standards tightening.
This development underscores the EU’s broader commitment to building a circular, low-carbon economy, and Vietnamese companies need to proactively adapt to ensure continued access to European metal scrap supplies.