Council of Ministers rejects steel tariffs: 11,000 jobs at risk in Zenica

The Council of Ministers of Bosnia and Herzegovina has once again rejected a proposal by the Minister of Foreign Trade and Economic Relations, Stasa Kosarac, to introduce a 30% protective tariff on steel imports. The proposed measure, intended to last 200 days, aimed to shield the domestic market from an influx of low-cost foreign steel.
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During the session, ministers from the Croat Democratic Union (HDZ BiH) voted against the decision, whereas the proposal received support from ministers representing Republika Srpska, as well as Minister of Defense Zukan Helez and Minister of Communications and Transport Edin Forto.
Helez, who also serves as Deputy Chairman, confirmed that this vote effectively ends the current legislative attempt to implement the tariffs.
The rejection of these protective measures poses a direct threat to domestic production, particularly for the Nova Zeljezara Zenica plant. Industry experts warn that the decision favors import lobbies while exposing local manufacturers to unfair competition.
The consequences for the metal sector are severe, with approximately 11,000 jobs now at risk. Prior to the session, workers from Nova Zeljezara Zenica held a peaceful protest in front of the Parliament building, urging authorities to recognize the gravity of the crisis and warning that a production halt would devastate thousands of families and destabilize the broader economic system.
The failure to adopt these measures is expected to result in a deepening industrial crisis, where the continued accumulation of unsold domestic stock due to cheaper imports makes local production unsustainable. Management and unions warn that without state protection, mass layoffs and the total closure of production facilities are imminent.
Furthermore, this decision places immense pressure on the supply chain, as the business operations of dozens of auxiliary firms tied to steel production now face potential bankruptcy. Despite the urgent pleas from the labor force, the lack of political consensus in the Council of Ministers leaves the future of Zenica's steel industry highly uncertain.
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