According to the association, the European steel company's market is "collapsing" under the weight of high costs, weak demand and growing imports – and if Prague does not take action, the Czech industry will lag behind.
According to Berlin's plan, the German government will set the price of industrial electricity at 50 euros/MWh. This support, funded by state funds in the amount of 6.5 billion euros, will be extended to energy-intensive industries, including steel and metallurgy.
On the contrary, industrial electricity prices in the Czech Republic are about 100 euros/MWh. Třinecké zelezárny, the only domestic producer of unrefined steel in the country, consumes about 1 TWh per year, so the price gap can cost the company 3-4 billion CZK per year. Roman Heide, CEO of Třinecké zelezárny, warned that without such national measures, long-term steel production in the Czech Republic may not be viable.
Call for urgent national action
The Association calls on the Czech government to take immediate measures to protect industrial competitiveness, including potential support for energy costs, before the German tariff takes effect. The Association warns that without action at the national level, the Czech Republic could face a long-term decline in steel production, job losses and further erosion of its industrial base.
