Ministry of Investment Imposes Temporary Measures on Imported Iron and Steel Products

Egypt’s Ministry of Investment and Foreign Trade has imposed Temporary Safeguard Measures (the “Temporary Measures”) on certain products on September 11th, 2025, which was formalized by decisions Nos. 398/2025, 399/2025, and 400/2025 taken in accordance with the propositions included in the announcements Nos.7 and 8 of 2025 of the commercial treatment sector of the Ministry of Investment and Foreign Trade (the “CTS”).

These products include (i) pre-painted galvanized iron; (ii) hot dipped galvanized iron; (iii) cold rolled coil; (iv) non-alloy steel (the “Products”).

The Temporary Measures stem from Egypt’s commitment to support local production and in application of the national economy safeguard rules provided under law No. 161 of 1998 and its executive regulations (the “National Economy Safeguard Law”) as well as the final act of the Uruguay Round Negotiations (the World Trade Organization Agreement).

The CTS, being the relevant investigative authority, has received complaints on July 30th, 2025, and August 10th, 2025, from local manufacturers with respect to the sudden increase in importation of the Products which resulted in the serious injury to domestic industry (the “Complaints”).

Serious injury is defined by Article 80 of the Executive Regulations of the National Economy Safeguard Law as any harm that causes a significant overall weakening of the position of the domestic industry.

Upon reviewing the Complaints, the CTS found that the sudden increase in importation of the Products resulted in the following:

• The decrease of the overall domestic sales and their market share for domestic manufacturers;
• The decrease of the energy utilization rate
• The decrease of employees’ productivity;
• Realizing net losses per unit; and
• Increase in the amount of Products in stock.

Accordingly, the CTS submitted an initial report on September 10th, 2025 to the relevant committee proposing the application of the Temporary Measures. The relevant committee then advised the CTS to begin the investigation for the years of 2021,2022,2023, and 2024.

As per Article 61 of the Executive regulations of the National Economy Safeguard Law, the CTS shall assess the serious injury incurred by the domestic industry by examining all positive evidence, including:

• The increase in the volume of subsidized imports, and the extent of their impact on (i) the decrease in the selling prices of subsidized imported products compared to the selling prices of comparable domestic products; (ii) the decrease of the selling prices of comparable domestic products; (iii) Preventing domestic prices from any possible increase.
• The extent of the impact of subsidized imports on the economics of the domestic industry, as determined by assessing (i) the actual or potential decline in sales, profits, production, market share, productivity, return on investment, or utilization of capacity; (ii) factors affecting domestic prices; (iii) actual and potential negative effects on cash flow, inventory, employment, investment, salaries, growth, and the ability to raise capital; (iv) whether there is an increase in the burden on government subsidy programs for agricultural commodities; and (v) Any other influencing factors that the CTS deems sufficiently significant.

In conducting its investigation, the CTS shall have the right to hold public hearings for the relevant parties to be able to defend themselves. However, any evidence that the relevant parties wish to submit shall be in writing.

The CTS shall also have the right to conduct site visits to the relevant parties (inside and outside of Egypt) in order to obtain information in relation to their investigation. However, said site visits may not be without the relevant parties’ consent as per Article 26 of the Executive Regulations of the National Economy Safeguard Law.

The Temporary Measures were approved on September 11th, 2025, and took effect three (3) days later on September 14. The duration of the said Measures shall be two hundred (200) days.

These Measures were decided in application of Articles 79, 82 and 83 of the Executive regulations of the National Economy Safeguard Law, which provide that in the event of a clear increase in imports causing or threatening to cause serious injury to a local industry, which may be difficult or impossible to fix, Egypt can impose safeguard measures. These Measures aim to protect domestic manufacturers of similar products from an unfair rise in imports, even if those imports are not dumped or subsidized.

In summary, the Temporary Measures decided on iron and steel highlight Egypt's commitment to protect its strategic domestic industries. The CTS acted promptly on evidence of serious injury by applying the National Economy Safeguard Law to ensure fair competition between local manufacturers and foreign manufacturers in Egyptian markets. These Measures aim to provide immediate relief while the formal investigation conducted by the CTS continues, ultimately seeking to secure the stability of one of Egypt's most prominent industrial sectors.