UK and US agree tariff-free access for steel and aluminium

The UK government has secured a resolution that will end the ongoing issue of steel and aluminium tariffs with the US.

International trade secretary, Anne-Marie Trevelyan, has secured a resolution with the US to end the ongoing issue around steel and aluminium tariffs.

Following two months of talks, the international trade secretary, Anne-Marie Trevelyan, met with commerce secretary Raimondo in Washington DC this week and the US announced an expansive removal of section 232 tariffs – re-opening tariff free access for UK steel and aluminium exporters to the US.

The announcement is good news for the steel and aluminium sectors, which support the jobs of around 80,000 people across the UK. The changes will take effect in June.

In response, the UK will suspend rebalancing measures on US products including whiskey, blue jeans and motorcycles.

Both sides have also agreed to work closely to address the wider issue of global steel excess capacity and market-distorting practices.

The announcement will benefit businesses on both sides and clears the way for the government to focus on the next steps of a UK-US trade relationship.

UK Steel director general, Gareth Stace, commented on the announcement: “This deal represents a hugely positive outcome and is warmly welcomed by the UK steel sector. We must congratulate Anne-Marie Trevelyan on her efforts and success in swiftly agreeing a deal with the US that will greatly benefit the sector. The United States represents a key export market for UK producers but since the introduction of Section 232 tariffs by the previous administration, steelmakers across the UK have been selling into the United States at a huge disadvantage.

“The tireless work of the trade secretary and her department has resulted in a strong deal for the UK which removes long-standing export barriers and opens up access to this important market once more. Without this agreement UK producers would have remained at a significant competitive disadvantage in US markets to competitors in the EU and Japan, with their exports severely curtailed. From June, UK steel producers will benefit from tariff-free access to customers across the US – from the Atlantic to the Pacific.

“Establishing our position as an independent trading nation does not happen overnight, but the UK has taken a bold and important step forward here demonstrating its ability to negotiate strongly on behalf of British industry. This decision is the culmination of months of dedicated work that will now benefit communities across the country. Once again, I would like to thank and congratulate the government on behalf of the entire steel sector for its success in these negotiations.”

Allan Bell, British Steel’s chief commercial and procurement officer, added: “British Steel has a long-standing history of supplying quality steel into the US, and we welcome this agreement and the opportunities it will bring.

“We’ll work with UK government to provide any necessary information and look forward to further strengthening relations with our US customers to deliver the products they require.”

UK Steel
www.makeuk.org/uksteel