The UK government has expressed frustration over the United States’ decision to introduce a 25% tariff on steel and aluminum imports.
The move, initiated by President Donald Trump, has sparked concerns among British industries, with officials considering possible responses to protect the economy.
The new tariffs, which came into effect at midnight in the US (4 AM GMT), are expected to significantly impact UK steel and aluminum exports. While the European Union has already announced countermeasures, the UK government has opted for a more cautious approach, emphasizing ongoing negotiations with the US to reach a broader economic agreement.
Government officials are in discussions with affected businesses to assess the consequences of the tariffs. The Trade Remedies Authority has been asked to investigate potential steps to safeguard UK steel producers. Despite the disappointment, officials remain committed to finding a diplomatic solution that avoids immediate retaliation.
Industry leaders have voiced strong concerns over the tariffs. The director-general of UK Steel, Gareth Stace, described the move as harmful to the British steel sector, which is already facing challenges such as high energy costs and global trade restrictions. He urged the UK government to secure exemptions and strengthen domestic trade protections.
The aluminum industry is also feeling the strain. The Aluminium Federation warned that the tariffs are driving up costs and disrupting supply chains, particularly by encouraging more scrap exports to the US. This could weaken the UK’s recycling capabilities and environmental goals.
Trade unions have called for immediate action. Unite, a major labor union, has urged the government to designate British steel as critical national infrastructure, ensuring long-term security for the industry and its workforce. Economic experts warn that escalating trade disputes could lead to further instability, emphasizing the need for careful negotiations rather than retaliatory measures.
The situation remains uncertain as UK officials continue discussions with US representatives. While Britain seeks a resolution that protects its industries, businesses and workers are bracing for the potential long-term effects of the tariffs.