They are two Cockney enchanted trees.
Steve and Ed were seen in the pub Poison Apple having an arm wrestle challenge, and one of the trees' arm broke off.
Prince Charming walks into the Poison Apple bar and asks Steve and Ed (and other villains) to join him so they can all take over Far Far Away. Charming also wants to murder Shrek as revenge for killing his mother the Fairy Godmother.
At the climax, Steve and Ed grab Charming and reveal their names.
- They might be the trees from The Wizard of Oz.
- In Shrek 2, Steve's and Ed's eyes glowing red. But for unknown reasons in the next film, their eyes are not red.