UK steel tariffs: new import measures set to drive investment and increase competitiveness
Emily Sawicz, director and industrials senior analyst at RSM UK, said: “The UK’s new steel import measures will help level the playing field for domestic producers. Policymakers plan to cut quota levels and lift out of quota tariffs to 50% from 25%, aligning more closely with the EU and US approach, signalling a clearer industrial strategy for steel.
“The UK produces less than 4m tonnes of steel a year, with imports meeting around 70% of domestic demand in a global market already grappling with overcapacity. High electricity prices, uncertainty over the timing of CBAM, and uneven trading conditions have all eroded the competitiveness of UK producers. Yet steel remains strategically vital, underpinning national security, major infrastructure and the energy transition.
“If implemented effectively, the new measures could drive investment in lower-carbon capacity, reduce the cliff-edge risk from upcoming EU changes and takes a step forward toward a coherent steel strategy, with domestic use at the heart, to drive economic growth.
“However, this is not a silver bullet, energy costs and skills remain real challenges, but it does indicate momentum in the right direction. If we pair smarter trade protections with competitive energy and a clear pathway to green production, UK steel can grow market share and be part of the next wave of industrial investment.”