UK Steel has expressed their support for the UK Government’s latest Trade Strategy but stated there is more to be done in the coming months.
UK Steel highlighted how the Trade Strategy will enable the Government to counter unfair trade and create a level playing field so that UK companies can compete. The Trade Strategy states this will be done through the improvement of the country’s trade defence ‘toolkit’ and by making responses more agile, assertive and accountable.
Gareth Stace, UK Steel director general, said: “This Trade Strategy marks a critical turning point. For years, our industry has sounded the alarm on the damage caused by subsidised imports and global overcapacity. Now, this Government is responding and arming the UK with weapons it needs to defend the steel industry.
“For too long the Government has been hamstrung by self-imposed rules that allow bad actors to take advantage of our open market. This has enabled state-subsidised steel to rip market share away from domestic producers, at the cost of thousands of good jobs in some of the most economically vulnerable regions in the country, and fracturing manufacturing supply chains, making us more reliant on imports.”
However, UK Steel has also stated that further legislation is required as the steel industry needs the Government to develop a trade defence mechanism to replace the existing safeguards before quotas expire in June 2026.
The Government has announced a ‘call for input’ regarding the design of the new systems, with UK Steel advocating for a new mechanism to be in place by January.
Stace concluded: “We need swift and decisive action to build a trade defence regime that is fit for purpose and in place before current safeguards expire in 2026. With the right tools and the political will to use them, the UK can reassert control over its steel market, protect skilled jobs, and give investors the confidence that the UK steel sector has a strong and sustainable future."
