The UK government is preparing a package of retaliatory measures to counter the European Union’s proposed increases in tariffs on steel imports, should efforts to reach an agreement that mitigates their impact fail.
According to sources cited by Bloomberg, London is considering escalating actions after domestic manufacturers warned that the EU’s plans could trigger the most severe crisis in the history of the steel industry.
Last month, the European Union unveiled a proposal to cut nearly in half the quota of foreign steel exempt from tariffs, in addition to doubling duties to 50% on volumes exceeding those limits.
The sources added that the UK government is also exploring ways to accelerate the replacement of its existing steel safeguard measures and tighten import quotes, noting that the current measures are scheduled to expire in June.
In earlier statements, the UK government stressed its commitment to addressing the sector’s overcapacity challenges, highlighting that it has supported the steel industry by securing preferential access for British exporters to the US market.
It also emphasized that it continues to consider stronger trade measures to protect its steel producers from “unfair practices,” and reaffirmed its ongoing cooperation with the EU following the latest announcement.
