UK steel industry set for worst crisis as EU hikes tariffs

The European Union’s decision to hike alloy tariffs and sharply chopped import quotas has provoked wide interest successful the UK, arsenic good arsenic rumblings of discontent among carmakers connected the continent.

The bloc announced plans to trim tariff-free quotas connected imported alloy – proposing a simplification of 47% compared to 2024 alloy quotas – and to hike tariffs from 25% to 50% connected immoderate excess imports.

The European Commission said the measures were a effect to calls from workers, manufacture and respective subordinate states “to connection beardown and imperishable extortion to the EU alloy industry, with a presumption to safeguarding EU jobs, and supporting the assemblage successful its decarbonisation efforts.” 

The connection volition regenerate the alloy safeguard measure, which is acceptable to expire by June 2026.

The tariff hike provoked an contiguous outcry successful the UK, with the country’s beleaguered alloy manufacture already suffering a fig of assemblage blows, including steelworks closures starring to thousands of occupation losses, and U.S. tariffs of 25% connected alloy exports to the States.

“This is possibly the biggest situation the U.K. alloy manufacture has ever faced,” Gareth Stace, manager wide of manufacture assemblage UK Steel said.

“Government indispensable spell each retired to leverage our trading narration with the European Union to unafraid UK state quotas oregon perchance look disaster,” helium added

Emily Sawicz, Director and Industrials Senior Analyst astatine RSM UK, said the EU’s announcement was a “significant threat” to the U.K.’s alloy industry.

“The EU accounts for astir 80% of U.K. alloy exports, truthful these tariffs hazard cutting disconnected entree to the U.K.’s largest and astir strategically important marketplace astatine a clip erstwhile the assemblage is already nether immense unit from planetary contention and rising vigor costs,” she added.

The station UK alloy manufacture acceptable for worst situation arsenic EU hikes tariffs appeared archetypal connected Vanguard News.