Bonds from European steel companies have been dealt a blow by the introduction of hefty new US tariffs on imports, but bankers said the news may benefit the sector in the long run.

Initial reaction to the US' decision to impose tariffs ranging from 8% to 30% on steel imports was negative, particularly as the market had expected an upper limit of 20% to 25%. But the direct risk to revenues of European companies, such as Usinor and Thyssenkrupp, which export only a small fraction of their steel to the US, is limited.