The UK government is working with businesses impacted by new US steel and aluminium tariffs and backing an application to the Trade Remedies Authority to assess potential steps to protect domestic producers, according to a ministerial response in the House of Lords.
During a Lords urgent question on 12 March 2025, Lord Sharpe of Epsom asked the government what measures were being taken to mitigate the impact of the tariffs on the UK manufacturing sector.
Baroness Jones of Whitchurch, Parliamentary Under Secretary of State for Business and Trade, described the US decision to impose global tariffs as “disappointing” but said the government was actively supporting affected firms.
“We are resolute in our support for the UK steel industry,” she said. “This government is working with affected companies today, and we back industries’ application to the Trade Remedies Authority to investigate what further steps might be necessary to protect UK producers.”
No Plans to Prioritise US or EU in Trade Dispute
Lord Sharpe also raised concerns that the UK could be caught between US and EU trade tensions, noting that Brussels had already retaliated against the US tariffs. He questioned whether the government would prioritise its “special relationship” with Washington or closer ties with the EU in future trade negotiations.
However, Baroness Jones dismissed the idea of choosing sides, reiterating the government’s commitment to free and open trade with both partners.
“As the Prime Minister has been clear, when it comes to the national interest, he rejects having to make any false choice between allies,” she stated. “We are committed to continuing our work with both the US and the EU to remove barriers to trade and help UK businesses grow. Our number one priority will be the growth of the UK economy and free and open trade with our most economically important partners.”
The UK steel industry has previously been affected by US tariffs imposed under Section 232 of the Trade Expansion Act, with duties introduced during Donald Trump’s presidency and later revised under President Joe Biden’s administration. Industry leaders have warned that new restrictions could further impact UK exports and increase costs for manufacturers reliant on steel and aluminium imports.
With the Trade Remedies Authority now assessing the situation, businesses in the UK await further clarity on potential government action to counter the economic impact of the tariffs.
It’s not the time for a tit for tat response.. see what shakes out.. if and when it’s confirmed we are and will be hit by tariffs then it becomes a problem… in reality there is little the UK could do that would not also harm the UK… in the end unless it’s a strategic enemy your trying to restrict the growth of or a massively unbalanced market and production you need to protect your domestic production from tariffs are bad all around for everyone.
They are but when the WH spokesperson was asked about them she said tariffs will be good for the average person as they will bring prices down!
Unlike every other economist who says they are ‘dumb’
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Normally I would agree with you.
However, when it comes to the current incumbent in the White House, I think we need to respond robustly. He’s no different to Putin in this respect, if he pushes and there’s no push back, then he’ll push more. We’re not even taking a hard position to negotiate down to a moderated one- we’re literally doing nothing, and that is not in my opinion the way to go with Trump.
In general, I am always suspicious of trade with the US- they’re too big for us ever to get a decent deal and I think we’re safer going with open terms and seeking deals with nations/blocs that we are closer to peers with. Let’s face it, the Australian trade deal we inked hasn’t had a great review from most commentators, what chance have we got with the US?
I’m not talking about walking away from the US, by any means. I just think that we should take advantage of the fact that a number of other western nations and blocs are hardening their stance towards them, to slightly redress our “special relationship” to be a bit more reserved.
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The UK steel exports to the US are so small it’s not really worth hitting them on tariffs, better to go hard on a second round if something else gets hit. The small amounts of steel we make are so specialised they will be hard to replace.
This will likely add even more cost to the US navy’s nuclear submarine build program.
Unfortunately whether you think we should levy tariffs on the US, the U.K. is no position to have a trade war with the US whose multinational corporations own large parts of the UK economy and therefore have a huge influence on this country. This coupled with our near total reliance on their military support ensures we have become a near vassal state almost totally subservient to there whims and wishes.
This state of affairs instead of receding as we paid them back for our wartime borrowing was compounded from the 1980s as we unilaterally began dismantling our manufacturing base and allowed other prime sovereign businesses to be gobbled by corporate America aided and abetted by the City of London and our own politicians.
As this was happening we threw our lot in with our European neighbours but with the same underlying economic logic and the results are many nations such as Spain owning U.K. businesses including much of what remains of our manufacturing sector. Let’s be clear just 25 years ago the idea a Spanish shipbuilder would own Harland and Wolff would have been laughed at.
Starmer has therefore very little choice but to suck it up and it would take a huge national effort to readdress our economic weaknesses.
My concern going forward because of our politicians desire to be seen on the world stage they seem to be hellbent on either prostituting this nation to either the EU or US, which is not in our long term economic and security interests. Friends and allies yes, let’s hope so, but don’t forget they are economic competitors just like China and others. A bit of industrial and tech nationalism from the U.K. is long overdue.
Sorry for going off topic and rant over.
Yes very accurate analysis overall, same old not looking at the long term when we allowed our industrial base disintegrate for a quick buck or saving. So many businesses in this Country try and encouraged by the City is based on how soon can you sell up to the highest bidder and give them a nice profit rather than establishing a base for UK Plc but that’s not going to change. Only thing I take issue with (even though I really agree with it) is that difficult not to prostitute yourselves when as agent Orange says ‘you don’t have the cads with us you have some cards’. Ie we have put ourselves in the position of having to prosecute ourselves it’s just the Johns we have some freedom to choose. Spreading it about is probably the best strategy but this analogy is getting a bit to distasteful to take any further than that.
You do realise that US multinationals don’t work for the US government right?
Not really the same as the CCP.
Much the same as we have little control over our own multi national companies.
We can’t order HSBC to cancel a loan or Rolls Royce to make an engine for someone.
If tariffs hit our exports we need to try an refocus that export business towards other countries – if in that drive our import agreements need to also be reconsidered so be it. We should not -nor ever-be assuming the position with our ‘close friends’ ..we should be reassessing that ‘friendship’ across all environments.
There are many liberals who espouse the ‘free market’ as some sort of Nirvana , and damn the consequences. I think what we are seeing now is the folly of such an approach.
The UK should be building an Austrian/Korean Finex steelmaking plant. It is as economical & clean as steelmaking can be. We won’t do this as although cleaner, it is not net zero. Instead we will blow that money on daft schemes that fail instead.
What would we do with the steel?
Come to Motherwell and I can show you the price of steel making with no demand.
Then I’ll take you to Cambridge and show you a service and research based economy then you can tell me which place you would rather live.
It’s all the same shit lamenting crap old industries that got MAGA elected and caused the current issues.
UK has very little trade surplus with USA compared to other countries, but the Orange Lord still wants a trade war with their top ally. Mobsters do that type of intimidation because Mafia does not want friends or allies. Everyone is potentially an enemy and everything is a threat. Mobsters must be loners for their own survival. Gangsters are lowly common criminals but high class mobsters are respected and admired as supremacists and defender of religious Nationalism. The Orange King has no friends, only his Empire.