EU Delays Decision on Silicon Exemption Again

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The European Commission has delayed its decision on a ferrosilicon tariff exemption for Iceland and Norway — again. The announcement was originally due on Friday, then pushed to yesterday, and now a meeting has been rescheduled for tomorrow.

Björn Malmquist, Brussels correspondent for RÚV, reported that members of Alþingi’s foreign affairs committee were unaware of the latest postponement when RÚV contacted them shortly before 8 a.m. Norwegian media have since confirmed the news, with TV2 reporting that a decision is expected on Thursday.

Malmquist’s read on the situation is that these repeated delays point to shaky support for denying the exemption — and may even suggest the tide is turning toward Iceland and Norway’s position.

“The fact that this meeting has been postponed twice suggests, I think, that there isn’t sufficient support for the proposal as it stands,” he noted.

Both Iceland and Norway have been lobbying EU member states hard, arguing that as participants in the internal market they deserve different treatment from countries like China and India. Swedish authorities are also reportedly advocating on their behalf.

Alþingi’s foreign affairs committee held a dedicated meeting on the issue today — the only item on their agenda. When asked what Iceland could do if the exemption is denied, committee chair Pawel Bartoszek pointed to provisions in the EEA Agreement that could be invoked in that scenario.

“The EU’s safeguard measures are not aligned with the EEA Agreement,” he stated. “While I wouldn’t call it an emergency measure, the EEA Agreement contains mechanisms for resolving disputes over its interpretation. Typically, this would involve referring matters to the Joint EEA Committee.”

Foreign minister Þorgerður Katrín Gunnarsdóttir attended this morning’s committee meeting. She acknowledged the uncertainty but said the repeated delays could mean Iceland and Norway’s case is landing with EU member states.

“It is fairly uncommon for votes to be postponed multiple times, suggesting ongoing discussions among EU member states,” Þorgerður Katrín observed. “This issue touches on fundamental aspects of the EEA Agreement, raising significant concerns for us in Iceland.”

“We have engaged in extensive communications regarding this matter, both today and over the weekend,” she added. “We are actively working with Norwegian counterparts to safeguard Icelandic interests.”

Actions to be Taken

If the EU does uphold its safeguard measures, Þorgerður says Iceland has a plan ready.

“We have a plan ready for how to proceed if that outcome arises, and we’ve shared this strategy with the committee. Once the decision is announced, we’ll make our response clear, although I remain hopeful for a favorable outcome.”

Malmquist said the exact reasons for the latest postponement are still unclear, but the recent lobbying push from both governments is the obvious candidate.

“The Commission introduced this proposal last Tuesday, expecting a decision on Friday,” he explained. “When that was postponed to today, we learned last night it would be pushed to tomorrow — confirmation reached me early this morning.”

The final call rests with a special committee of the European Commission made up of representatives from all 27 member states. A qualified majority is needed to reach a conclusion — specifically, the support of fifteen states representing 65% of the EU population.

“The vote isn’t solely about the exemption for Norway and Iceland; it’s about the broader proposal for safeguard measures, and we’re uncertain of the current dynamics,” Malmquist concluded.

This article has been updated to include comments from Þorgerður Katrín Gunnarsdóttir.

Viktor Ólason
Viktor Ólason
Viktor Ólason is an Icelandic entrepreneur and founder of Iceland Now. Born and raised in Iceland, he writes about Iceland travel, culture, and news from a true local's perspective - helping readers experience Iceland more deeply and authentically.

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